Correspondent: Vijaypal,New Delhi

Uncertainty once again clouds Delhi’s much-debated excise framework, as the government is reportedly considering another extension of the existing (old) liquor policy. With the draft of the new excise policy yet to receive final approval, industry stakeholders fear continued ambiguity could impact investment and market stability.


What’s the Issue?
The new excise policy draft has been prepared but not finalized.
The government may extend the current system to avoid a regulatory vacuum.
Industry bodies warn that repeated short-term extensions are increasing market uncertainty.
Concerns are rising over potential disruptions to investment, licensing, and supply chains.


Current Status of the Policy
At present, liquor retail operations in Delhi are being managed through government agencies after the controversial 2021–22 excise regime was scrapped. Since then, the older framework has been reinstated and extended multiple times on a temporary basis.


Sources indicate that before granting final approval to the new policy, authorities are conducting a thorough review of administrative and legal aspects. Given the controversies and investigations linked to the previous regime, the government appears to be proceeding cautiously.


Industry Concerns Mount
Stakeholders across the sector have expressed growing unease over the lack of policy clarity:
Long-term investments are being deferred due to uncertainty.
Both international and domestic brands are finding it difficult to plan strategically.
Existing license holders face confusion regarding renewals and compliance.
Industry representatives argue that only a clear, stable, and long-term policy framework can restore market confidence and operational predictability.


Why the Delay?
Inter-departmental consultations on the draft are ongoing.
Legal scrutiny and administrative approvals remain pending.
The government is reportedly adopting a guarded approach in light of past controversies.
Political circles are also closely watching developments, as Delhi’s excise policy has previously triggered significant debate and investigation.


What Lies Ahead?
While officials maintain that a final decision on the new policy may be taken soon, insiders suggest that an interim extension of the current arrangement appears almost certain.


For now, Delhi’s excise landscape remains in a holding pattern — caught between reform intent and procedural caution. Market players and political observers alike are awaiting clarity on whether the forthcoming policy will finally deliver the stability the sector has been seeking.