Delhi may allow premium liquor vends in industrial areas under new policy

The focus will shift towards aesthetically designed premium outlets offering larger display areas, temperature-controlled storage, and wider brand ranges.

For the first time, the Delhi government’s excise department is considering permitting premium liquor retail stores in industrial areas to boost high-end sales and bridge the competition gap with Gurugram and Noida, officials said. The proposal is part of the draft of the new excise policy, which has been finalised and is likely to be presented soon to chief minister Rekha Gupta.

(Photo for representation)

A meeting scheduled on Monday to finalise the draft was postponed, but senior officials said the policy framework has already been approved internally by the excise department and discussed with minister-in-charge Parvesh Verma. It will be placed before the cabinet shortly for final approval.

“The new policy aims to make Delhi a more competitive market for premium liquor brands. There has been a rising demand for high-end vends in the city and the proposal to allow such vends in industrial clusters, malls and large commercial complexes will help expand the city’s premium segment,” said a senior excise department official.

According to the draft, premium liquor vends may be allowed in industrial areas, provided they are located on roads at least 24 metres wide. The focus will shift towards aesthetically designed premium outlets offering larger display areas, temperature-controlled storage, and wider brand ranges. Senior officials said premium liquor stores may be doubled by either allocating new spaces or converting the existing shops into premium ones.

A notification issued in October said that Delhi currently has 98 premium liquor stores out of around 570 active vends. The new policy aims to increase this number, allowing retail expansion in high-footfall zones such as Saket, Connaught Place, Dwarka and Aerocity, and in industrial hubs like Naraina, Okhla and Mayapuri.

Delhi currently has 98 premium liquor stores out of around 570 active vends.

“The city has lost a large portion of premium customers to Gurugram and Noida because of their modern stores, wider selections and flexible hours. By bringing similar premium outlets to Delhi, we aim to keep those consumers within the capital and ensure a fair revenue balance,” the official said, requesting anonymity.

The excise department’s internal assessment found that Delhi’s premium liquor segment accounts for less than 15% of sales by volume but nearly 35% by value. The new policy aims to raise this share and boost revenue through brand diversification and better pricing structures.

Officials said that the proposal also recommends criteria such as minimum floor area, camera surveillance, and mandatory digital payments. Licences for premium vends will be auctioned at higher fee brackets to ensure transparency and revenue growth.

The government has said that the new policy will be “more transparent and financially rewarding” and is intended to stabilise the liquor market after the rollback of the 2021–22 excise policy. Once approved by the CM, it will be sent to the Lieutenant Governor for final clearance and rollout later this financial year. The existing policy remains in force until March 2026.