New excise policy: Delhi may see rise in liquor prices

New Delhi: Liquor prices in the city might go up as private vends open from November 17 under the new excise policy of the Delhi government.

The Delhi government's excise department, which is in the process of fixing maximum retail price (MRP) of brands to be registered in Delhi, said in an order on Thursday that the wholesale prices of all types of liquor are likely to increase by 8-9 per cent.

"The increase in wholesale price will lead to at least 5-10 per cent increase in MRP of liquor, although the actual effect will be realised only after the new retail system as per the excise policy for 2021-22 is in place," said a liquor trader.

Senior officers of the department did not reply when reached for comments.

In the new Excise Policy 2021-22, the excise duty and VAT have been subsumed in the licence fee. A nominal excise duty and VAT at the rate of 1 per cent each on wholesale price (WSP) will be levied to arrive at the landing price to the retailer, said the order.