Haryana Cabinet Nods to Excise Policy with Increased Liquor Duty

The Haryana Cabinet, led by Chief Minister Nayab Singh Saini, recently sanctioned a new excise policy for the fiscal year 2024-25, following clearance from the Election Commission, as per an official announcement. This policy, set to commence on June 12, outlines a modest hike in the excise duty on both Indian Made Foreign Liquor (IMFL) and country liquor. However, specifics regarding the extent of the duty increase were not disclosed.

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The decision was made during a cabinet meeting in Haryana, marking a continuation of the state's excise strategy, with the previous policy also spanning a year from June 12, 2023. The forthcoming policy stipulates a maximum basic quota of 700 lakh proof litres for IMFL and 1,200 lakh proof litres for country liquor.

Additionally, the new policy introduces an extension of the QR code-based track and trace system to imported foreign liquors, aiming to enhance regulatory oversight. This system was initially implemented for IMFL and country liquor in the 2023-24 policy. Furthermore, to regulate the market effectively, the minimum retail sale prices for imported liquor brands will be determined by the department.

With this policy's endorsement, the excise department is set to initiate an e-auction process for retail vend allotments starting May 27. The criteria for participation in this e-auction include mandatory submission of an Aadhar Card or Parivar Pehchan Patra, Income Tax Returns for the past three assessment years, and a minimum net worth requirement of Rs 60 lakh. The cap on the number of retail vends will remain unchanged under the new policy.

This move comes amidst the enforcement of the Model Code of Conduct due to ongoing Lok Sabha elections, necessitating prior approval from the Election Commission before finalizing the excise policy. This step underscores the government's commitment to adhering to regulatory requirements while making significant policy decisions.