The Chandigarh excise and taxation department has received bids for vends for a total of 43 groups out of 48 to be allotted under the new excise policy.
There are a total of 100 vends in the 48 groups. The department has received five bids — highest in any group — for the lone vend in Sector 16 market falling in group 7against the reserve price of Rs 1.25 crore. While the lone vend in Sector 11 market falling in group five attracted three bids against the reserve price of Rs 1.5 crore.
According to officials, both the vends attracted more bidders as compared to other sectors because of the location and low reserve price.
The department received no bids for vends in Sector 21, 27, 28, 41 and on old Ropar Road in Manimajra. The Chandigarh administration on February 26 announced the excise policy 2016-17, which will come into force from April 1.
UT assistant excise and taxation commissioner Ravinder Kaushik said that the bids will be open on March 15. He further said that process of allotment of remaining bids will be started after March 15.
Chandigarh Wine Merchants Association president Satya Pal said that the excise department has received a good response and the department will manage to sell the remaining vends in second attempt.
In the new excise policy, the administration has increased the minimum retail sale price of Indian Made Foreign Liquor (IMFL) under different categories, thus pushing the rates upto 20%.
As per the norms, liquor traders were allowed to apply for any number of groups separately but against one group, they could cast only one bid along with participation fee of Rs 1 lakh.
Under the new policy, the minimum reserve price at which vends will be auctioned has been increased from Rs 135 crore to Rs 177 crore. The export fee has been reduced. As per the policy, the fee of 50 paisa per litre shall be charged on the export of country liquor and IMFL. Earlier, the export fee was Rs 1 per liter.
Last year, the administration had reverted to its 14-year-old policy to sell vends in cluster, which proved to be a success, as all the vends were sold. In 2014, out of the total 217 liquor vends only 103 were sold in the first auction in April.