A wine shop open at Aarti Chowk, Ferozepur Road, in Ludhiana on Friday.(Gurpreet Singh/HT)
A wine shop open at Aarti Chowk, Ferozepur Road, in Ludhiana on Friday.(Gurpreet Singh/HT)

Rajasthan govt expects higher revenue from e-auction of liquor shops

  • In a first, excise department will e-auction liquor shops in Rajasthan
PUBLISHED ON MAR 02, 2021 05:12 PM IST

The Rajasthan government is expecting higher revenue from the e-auction of the liquor shops in the state which will be held on Wednesday, a top government official said.

According to the state government’s new excise policy, liquor shop allotment will be done through e-auction instead of the earlier system of lottery.

Additional excise commissioner (policy), CR Deasi said that earlier there was a minimum reserve price in the liquor shop allotment in the lottery system whereby the government used to get fixed reserve price of the shops.

"Now as per the new excise policy, e-auction of the liquor shops will be done from tomorrow (Wednesday) whereby the aspirants of liquor shops will have to bid their price above the minimum reserve price and the liquor shop will be allotted to the highest bidders," he said.

The e-auction will improve transparency, he said.

"Shop allotment through bidding will generate more revenue for the department as it earned 10,500 crores in the last financial year even when liquor shops remained closed for a month but now we are expecting 13,000 crore in revenue," he added.

The bidding will take place for 7,665 liquor shops in the e-auction.

A maximum two liquor shops in a district and maximum five shops in state can be allotted for those who make winning bids in the e-auction.

The aspirants will have to deposit application fees between 40,000 to 2 lakh depending on the reserve price of liquor shops which is between 50 lakh to 2 Crores.

The application fee will be non-refundable.

The Rajasthan government for the first time has also allowed establishment of micro-breweries in the state.

"Micro-breweries exist in states like UP, Maharashtra, Karnataka, Haryana and Delhi so Rajasthan has also decided to allow setting up of such micro-breweries in the hotels in the state for providing fresh beer to the people, particularly tourists, since Rajasthan is a tourist destination and there was demand for it," Dewasi said.

Under the new policy, beer will get cheaper in the state after a 10% reduction in excise duty comes into effect from April 1 while there will be no hike in the prices of country made liquor.

He said that the annual license fees on beer and Indian made foreign liquor (IMFL) have been abolished in the new excise policy while now there is no need for commercial land for opening bars as one has to just obtain a license from the local body for opening a hotel or restaurant.

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