Move will bring price rationalization, price parity with other states and mitigate the inflationary pressure.
Jaipur : The International Spirits & Wines Association of India (ISWAI), an apex body of the premium alcobev sector, welcomed the Rajasthan Government’s new Excise Policy for 2022-23 and 2023-24, hailing it as a progressive and stakeholder friendly policy that has significantly addressed the industry’s long-pending request to mitigate the high inflationary pressure on its input costs.
Applauding the Rajasthan government on this move, Ms. Nita Kapoor, Chief Executive Officer, ISWAI, said, “This move would bring price rationalisation and thereby boost the state excise revenue. The new excise policy will also enable consumers, who are increasingly opting for better quality and genuine products, legitimate access to premium brands.”
Talking about the ‘ease of doing business’ model adopted by the Rajasthan Government in the new excise policy, Ms. Kapoor added, “The industry’s ask for improving the “ease of doing business” and mitigating inflationary pressures in the state of Rajasthan has been recognised. The new policy will provide stability especially to the retail, as the retail outlet licences have been granted for two years.”
The reduction in bottling fees, which is a mandated part of the supplier’s price, is a much-needed relief to the suppliers in the state.
Mr. Suresh Menon, Secretary-General, ISWAI, stated, “Another welcome development in the new excise policy is the removal of the Covid surcharge, which will benefit consumers with a reduction on in the MRPs on the products by Rs 5 – Rs 10 on quarter”. He further added, “Allowing airports to sell premium wine, liquor and heritage brands, will benefit tourists, and augment state revenues.”
ISWAI has also urged the State Government to consider the sale of Foreign Liquor in existing standalone bars where currently sale of only beer and wine are allowed, as it will impact the consumers’ legitimate accessibility to foreign liquor, and become another route to generate higher tax revenue. Given that Rajasthan is a major tourist destination in the country, the non-availability of premium products at restaurants, bars and hotels will impact tourism due to the rising demand for premium products.
ISWAI, along with its member companies, supports the state Government in devising a consistent and progressive alcohol policy and aims to enhance general consumer education concerning the responsible consumption of alcoholic beverages.
Source: Press Release, ISWAI