Stories
British Liquor Duty Cut: Delhi Scotch Prices May Drop 15%
- •Delhi Excise Department considers reducing customs duty on British liquor, potentially cutting prices of some premium Scotch whiskies by up to 15%.
- •The move follows India's Comprehensive Economic and Trade Agreement with the UK, which slashes import duties on British spirits from 150% to 75% initially, and further to 40% over 10 years.
- •The decision's implementation may be delayed due to the vacant full-time Excise Commissioner post and the need to address old stock disposal.
- •A new excise regime is also pending, with a draft sent to the Centre for approval, which may recommend increased excise duty and retail liquor margins.
- •Revised prices could appear this month, with neighboring Uttar Pradesh also expecting price reductions on UK-origin liquor brands from October 10.
Key Questions Answered
The Delhi Excise Department is considering a customs duty reduction on British liquor, which could decrease the prices of premium Scotch whiskies by up to 15 per cent, saving consumers around Rs 200 to Rs 300 per bottle in the retail market.
India signed a Comprehensive Economic and Trade Agreement with the United Kingdom last year, slashing import duties on British spirits such as whisky and gin from 150 to 75 per cent, with a further reduction to 40 per cent planned by the 10th year of the deal.
The policy-related decision is taking time because the Delhi Excise Department currently lacks a full-time Excise Commissioner following the transfer of IAS Ravi Jha, leaving the New Delhi district magistrate to hold the post until a new appointment is made.
