Delhi’s newly elected BJP government is preparing to roll out a fresh liquor policy that promises more premium choices for consumers. For the first time, high-end liquor brands will be available at government-run shops, and the city may also see exclusive beer bars opening soon.
The upcoming policy — currently in its final stage of approval — focuses on three major changes:
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Scrapping fixed retail margins on premium liquor bottles to make them more affordable,
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Introducing excise duty on Bhutanese and Nepalese liquor brands to ensure fair competition, and
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Launching a new beer policy that could allow standalone beer bars in the capital.
Government to Retain Control Over Liquor Trade
The Delhi government will continue to manage all liquor sales through its existing agencies — the Delhi State Industrial and Infrastructure Development Corporation (DSIIDC), Delhi Tourism and Transportation Development Corporation (DTTDC), Delhi Consumer’s Cooperative Wholesale Store (DCCWS), and Delhi State Civil Supplies Corporation (DSCSC). Private liquor vends will not be permitted for now.
The new excise policy will be implemented for one year, and any challenges will be addressed later. The government has also decided not to lower the legal drinking age, which will remain 25 years.
Premium Brands to Become More Affordable
Currently, Delhi imposes a fixed retail margin of ₹50 per bottle on Indian-made foreign liquor (IMFL) and ₹100 on imported liquor. This has made premium brands more expensive compared to Gurgaon, where flexible pricing and private vend auctions allow discounts.
As a result, many government vends in Delhi stopped selling premium liquor due to poor demand. The new policy will remove the fixed margin system, allowing premium brands to be priced competitively with Gurgaon, making them accessible again to Delhi consumers.
Excise Duty on Bhutanese and Nepalese Beer
The government also plans to impose excise duty on beer imported from Bhutan and Nepal, which currently enters the market without import duties, making it cheaper than Indian brands. Domestic brewers, who pay around 150% excise duty, have long demanded this change for a level playing field.
This move is expected to protect Indian beer makers and stabilize market competition.
Background
After the 2022 liquor policy controversy and subsequent arrests of senior AAP leaders, Delhi reverted to its old policy in September 2022. Under that system, L-1 licences were issued to liquor manufacturers for wholesale supply to government vends.
With the BJP government taking office in March 2025, revising the excise policy became a top priority. A committee led by Minister Parvesh Singh Verma has been working on the new framework, which is expected to be released later this month.
