Little cheer: Permit shop sales down 30%

| TNN | Updated: Apr 11, 2018, 05:49 IST
AHMEDABAD: From April 1, the prices of liquor have increased significantly with the increased excise duty on it. Those holding liquor permits on health grounds, particularly senior citizens, are feeling the pinch. Owners of permit liquor shops say that booze prices have risen by 35% approximately.
“I’m a senior citizen and have had a health permit for more than 15 years, owing to a heart ailment. I survive on my retirement savings. It is not possible for me to pay Rs 5,000 extra every month for liquor,” said Kantilal Majmudar, a permit holder.

The number of units available to permit holders varies depending on age, with senior citizens entitled to five units a month. Senior citizens who have liquor permits say they won’t be able to buy that much. “I’ve been prescribed liquor for my heart ailment. The government must consider reducing prices, at least for senior citizens,” said Asit Shah, a permit holder.

Permit liquor shop owners said some permit holder have been forced to change brands. “Those who are health permit holders are our regular customers. Most have switched their brands to avoid paying more,” said the manager of a permit liquor shop in the city.


Owners of permit liquor shops say prices of a single unit of Indian-made foreign liquor (IMFL) have risen by at least Rs 550-600, increasing customers’ monthly expenditure on liquor by a minimum of Rs 2,000-2,500. The increase can be up to Rs 10,000, depending on the brand of alcohol bought.


Liquor store owners say that several regular customers, including tourist permit holders, NRIs and health permit holders have not turned since April 1 and sales have dipped by at least 30%. “Our sales have dipped significantly, as customers have also switched to cheaper brands, affecting our revenue. Sales of beer and imported liquor are particularly low as the prices have risen,” said the owner of a permit liquor shop near CG Road.


Permit liquor shop owners are also concerned about their stocks of imported liquor which have absolutely no takers. “With excise on imported liquor going up significantly, the price of a bottle of imported liquor which was around Rs 5,000 is now close to Rs 10,000, including the added excise and 65% value added tax. Nobody is chosing imported liquor with the revised prices, which are way above prices in neighbouring states and the government is losing tax revenue,” said the owner of another permit liquor store, on condition of anonymity.



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