by Subhash Arora
The story about state governments in India buckling down to promote wine and beer instead of liquor continues. Following in the footsteps of neighbouring Haryana, Chandigarh has announced a new, progressive policy for 2007-2008, which comes into
effect on April 1st of this year.
A new license, L10AA, has been introduced that will allow sale of wine for consumption on premise at a nominal annual fee of Rs. 4500 (US $100). Further, the license fee for pubs has been reduced drastically from Rs. 50,000 to Rs.10,000, which means that wine bars can now be opened in the city. This should allow entrepreneurs to promote wine, an endeavour which has not been financially feasible thus far.
In addition, the upper limit on total new licenses has been also removed. In case the number exceeds last year\'s 215, the administration will review the additional applications, making entry for new entrepreneurs easier.
Chandigarh is the common capital city of the prosperous states of Haryana and Punjab. As a declared Union Territory by the government of India, it is considered an independent \'state\' and has its own administration. Situated 240 kilometres from Delhi , it is an important metropolitan area thought to have an immense potential for wine consumption. Haryana had already announced a progressive policy for 2007-08, on which reported on the 22nd of January.
There is discouraging news for the imported wines, though. The license fee for the sale of imported wine and liquor in department stores has been doubled from Rs. 25,000 to Rs. 50,000 (US 1 $ = Rs.45), making them more expensive. This is part of a governmental plan to protect and promote the local wine industry.
