An Excise Committee constituted by the Delhi Government and chaired by Minister Parvesh Sahib Singh deliberated on key changes to the capital’s liquor policy, including reducing the legal age for beer consumption from 25 to 21 and reintroducing private retail liquor outlets. Sources confirmed that the committee, comprising multiple ministers, was established to frame a more transparent and socially secure excise framework.

According to officials, the panel engaged with stakeholders earlier this week to seek feedback and assess the prevailing market conditions. It was noted that Delhi’s current legal drinking age of 25 stands higher than in adjoining states such as Uttar Pradesh and Haryana, where it is fixed at 21. Officials observed that this disparity often results in consumers resorting to cross-border purchases in Noida or Gurugram, or engaging in unauthorised consumption within Delhi. Lowering the permissible age for beer, they indicated, may discourage the shift to stronger alcohol among younger consumers while simultaneously enhancing state revenues through regulated sales.

However, authorities emphasised that the proposal remains under discussion and has not yet received formal approval. The Excise Department has been tasked with preparing a draft policy for further deliberation. Any final decision, officials clarified, will be subject to multiple rounds of consultation before being placed before the Cabinet for approval.

This is not the first attempt to revisit Delhi’s drinking age. The AAP-led government had earlier proposed a similar reform under the Excise Policy of 2021, which ultimately did not receive clearance. At that time, the policy also introduced private participation in retail liquor trade. That arrangement, however, later became embroiled in investigations by agencies including the Enforcement Directorate and the Central Bureau of Investigation, eventually leading to its withdrawal in 2022. Since then, liquor sales in Delhi have been restricted solely to government-run outlets, numbering over 700 across the city.

The committee is also considering broader structural reforms, including rationalisation of brand licence fees and retail margins, as well as the potential introduction of beer-only shops adjacent to wine outlets. Currently, government stores operate under capped margins of ₹50 on Indian-made foreign liquor (IMFL) and ₹100 on imported brands per bottle. Officials noted that this pricing structure, coupled with limited availability of premium labels, has skewed consumer demand towards cheaper varieties. Discussions are therefore underway to revise margins to both improve revenue and expand the availability of popular brands.

 

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Siddharth Raghuvanshi