Home Outlet store Delhi Government Allows Private Shops to Offer Up to 25% MRP Discount on Alcohol

Delhi Government Allows Private Shops to Offer Up to 25% MRP Discount on Alcohol

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The Delhi government has allowed private shops to offer up to 25% off the maximum retail price (MRP) of alcohol, more than a month after banning such discounts in the nation’s capital.

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An order issued by the Excise Commissioner states that licensees can now offer discounts of up to 25% on alcohol MRP in Delhi. It further mentions: “Licensees must however strictly abide by the terms and conditions of the license and if any violation thereof is found, strict criminal penalties will be taken in accordance with the provisions of the law and rules on the Delhi Excise…”

In an order issued on February 28, the Delhi government ordered vendors to end alcohol MRP discounts, rebates and concessions. The reason given for this then was large crowds gathering in front of liquor stores which can worsen the Covid situation, cause public order issues and inconvenience to the local population.

The rebates were discontinued “….in view of the violation of DDMA guidelines and the market distortion that was observed due to the unregulated rebates offered by some of the licensees in the month of February 2022,” according to the Excise Commissioner’s order dated April 1 to allow these reductions.

The order adds that “the government has reconsidered the above-mentioned decision” and that the government “reserves the right to withdraw the discounts granted at any time of the year”.

Alcohol sellers had filed a petition in the High Court challenging the government’s previous decision to ban discounts. The court had earlier this month refused to suspend the government’s decision in this regard.