Liquor Rate Fluctuations: Himachal Pradesh’s New Sales Strategy

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Himachal Pradesh will now sell alcohol at different prices in its liquor vends. The government has decided to sell liquor on the Punjab, Haryana, and Chandigarh model during the financial year 2024-25. Now, instead of MRP (Maximum Retail Price), MSP (Minimum Selling Price) is written on the bottle. No maximum price has been set for sales, and sellers will determine the selling price considering the profit margin. In order to compete with neighboring states and control illegal alcohol, the government has made changes in the excise policy. The new system has been implemented since April 1. Officials from the Tax and Excise Department argue that this will increase competition in the market. If alcohol is being sold at higher prices in one vend, customers will go to another vend to check the rates. In a situation where alcohol is available at lower prices, customers will buy it there. Under the new policy, liquor vendors who sell at significantly higher margins than MSP are also warned of action. According to officials, alcohol was also sold under the MSP policy a few years ago. The old policy has now been reintroduced. The condition of monthly quotas for vendors has also been abolished under the new policy, providing relief to businesses. According to departmental officials, this year’s revenue target is around 2,800 crore rupees, compared to 2,600 crore rupees earned by the government during the fiscal year 2023-24. It is mandatory to display the rate list and include the officers’ phone numbers. Rate lists for all brands must be displayed at the vends. It will be necessary to write down the phone number of the relevant area’s tax and excise inspector on the rate list. Action will be taken against traders who fail to do so. If a person feels that a liquor trader is charging excessively high rates, they can complain to the relevant authority over the phone.”

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