Chandigarh's liquor vend auction raised Rs 606.43 crore

Chandigarh's excise and taxation department had a successful liquor vend auction, selling 96 out of 97 vends in a single round. This earned them ₹606.43 crore, which is 36% above the reserve price. The total reserve price was set at ₹439.29 crore, and the highest bid came from Palsora village, where the vend was sold for ₹14 crore against a reserve price of ₹10.22 crore. This auction marks a significant improvement over previous efforts, where the administration failed to meet targets and saw many vends go unsold. Last year, eight of the original 84 vends had not sold despite multiple attempts. Changes to the excise policy, including procurement rules for bars and restrictions on the number of vends one entity can hold, helped attract more bidders this year. However, the Chandigarh Wine Contractor Association raised concerns about possible cartelisation, claiming that vends were awarded to members of the same family or firm. They requested the excise department to verify the funding sources of bids. Officials from the excise department are reviewing these complaints and stated that the policy aims to prevent monopolies and ensure fairness in the bidding process. The auction's success appears linked to shifts in market dynamics and changes in neighboring states' policies. The collector of Excise, H P S Brar, assured that any allegations will be examined and addressed.