‘Liquor sold above MRP in Madhya Pradesh’s capital as same group bags multiple outlets’

Bhopal: Madhya Pradesh capital Bhopal is facing a ‘liquor pricing scandal’, with most of the licensed shops selling alcohol up to 30% above the Maximum Retail Price (MRP). Despite a revised liquor policy meant to ensure fair pricing, weak enforcement has led to growing public outrage.

Most violations are linked to two dominant groups: the Som Group, which controls 62 shops out of a total of 87, and the Shivhare Syndicate, which holds the remaining 25. This concentration of licenses has fostered monopolistic practices and rampant overpricing.

According to sources, around 1 lakh country-made liquor quarters (180 ml) are sold daily in Bhopal, priced at Rs 90 despite an MRP of Rs 75 and MSP of Rs 65 — generating an estimated Rs 15 lakh in black money each day.

The beer market is worse, with 4 lakh bottles sold daily at Rs 30 above MRP, leading to illegal earnings of nearly Rs 1.2 crore, they said.

Despite the new liquor policy mandating POS machines, Excise Adhesive Labels (EAL), and a real-time Integrated Supply Chain System to monitor sales, enforcement remains poor.

Virendra Dhakad, in-charge Assistant Excise Commissioner of Bhopal’s district, is reportedly facing challenges in curbing the issue, with limited inspections and modest action making it difficult to control black marketing.

A frustrated buyer said, “It’s open loot. We’re paying 30% extra, and no one is stopping them. Why have rules if they aren’t enforced?”

Under the new policy, selling liquor below or above MRP is a serious offence. The first violation results in recovery of duty for one day’s sales, the second incurs duty for two days plus a penalty, and the third leads to license cancellation. If part of a group, all shops in that group may lose their licenses for the year. However, no significant enforcement actions have been reported so far.

When asked about the overpricing, Excise Commissioner Abhijit Agrawal said that such complaints are being received from various sources.

“We are initiating stringent action against offending licensees,” he said, adding that a directive is being issued to all districts to conduct thorough investigations.

“A dedicated enforcement drive will also be launched shortly to curb these irregularities and ensure strict compliance with pricing norms,” the Commissioner added.

Last year, in a similar overpricing case, the EOW had registered cases against shop licensees in Jabalpur.

With most shops controlled by a single group, this monopoly has led to the strategic withholding of popular or premium brands, while lower-quality alternatives are being pushed at inflated prices.