State not to turn liquor retailer
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The state government on Tuesday constituted a cabinet sub-committee to finalise the new excise policy even as it decided in principle not to venture into the retail liquor trade and auction the outlets. Chief Minister N. Kiran Kumar Reddy will announce the policy after vetting it through the sub-committee instead of placing it before the cabinet and obtaining feedback from the ministers.
The Chief Minister avoided discussion on the retail trade and the Anti Corruption Bureau raids when some ministers sought to raise the issues in previous cabinet meetings. The sub-committee will have ministers of finance, home, civil supplies, endowments and excise as members, and principal secretary of revenue as convener. The new policy will come into force from July 1.
Sources told this newspaper that a draft policy is ready but what has not been decided is the crucial issue of the number of outlets. While there were suggestions to increase the outlets based on the population and put a check on belt shops, the top brass of the government were worried about a severe political backlash if the number is increased.
"There is broad consensus in the government against auctioning of outlets. The licence fee will be fixed based on the sale in previous years and the retailer will be picked through draw of lots," sources said, adding that the government in no way would venture into retail trade.
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