CIABC slams Delhi tourism corporation for favouring alcohol brands

Confederation of Indian Alcoholic Beverage Companies has accused the Delhi Tourism and Transportation Development Corporation of favouring 20 brands only

Varuni Khosla
Published27 Dec 2022, 02:07 PM IST
It has been several months since Delhi has been facing a shortage in the supply of alcohol brands as well as options. (iStockphoto)
It has been several months since Delhi has been facing a shortage in the supply of alcohol brands as well as options. (iStockphoto)

New Delhi: The Confederation of Indian Alcoholic Beverage Companies (CIABC) has accused the Delhi Tourism and Transportation Development Corporation (DTTDC), one of the largest alcohol suppliers in the city, of selectively favouring a list of 20 brands only while procuring its alcoholic products.

It has been several months since the city has been facing a shortage in the supply of alcohol brands as well as lack of options. Now, the body has said that many of its members have not been able to sell their brands. For instance, Terai Gin from Globus Spirits is not available in the market, similarly, recently listed Sula Vineyards, which has 24 registered brands, is only able to sell four of its brands in the city.

Allied Blenders & Distilleries (ABD), makers of mass-premium brand Officer’s Choice whisky, has five brands registered, but only Officers Choice Blue is being sold, while brands like Sterling Reserve and even Officers Choice are not.

“We have been informed that since early December, orders for supply for many brands of our member companies have been stopped. Inexplicably, only a select few brands have been categorised as ‘Popular’, and orders for supply are being given for only these brands,” Vinod Giri, president of CIABC, told Mint.

Out of the 490 stores in the city, the tourism body owns 145 and accounts for over 30% of all alcohol sold in the city. The other stores are owned by the Delhi State Industrial Infrastructure Development Corporation (DSIIDC), Delhi Consumer’s Cooperative Wholesale Stores (DCCWS), and Delhi State Civil Supplies Corporation (DSCSC).

In a letter to the tourism company, the body wrote it was informed that since early December, orders for supply for many brands of their member companies have been stopped.

When contacted, Niharika Rai, secretary, planning, tourism and managing director of DTTDC told Mint that they were examining the matter and would be coming up with a solution soon.

CIABC represents the interests of companies like Radico Khaitan Ltd, Allied Blender & Distillers Pvt Ltd, Jagatjit Industries Ltd, and Mohan Meakin Ltd, among others.

Giri added, “It appears that the corporation is placing orders for just about 20 brands and other brands, irrespective of sales, are not being given orders. We think that such pre-determination is a form of brand pushing, distorts the competitive field unfairly, stifles innovation, and works against the emerging products and new launches.”

This is despite the fact that brands have already paid license fees for the whole year while having only seven months to do business in. This is because the city revised its liquor policy in September 2022 to its old regime. Now only the four Delhi government agencies are being allowed to sell liquor, unlike earlier when private companies could also trade in alcohol.

“Shutting these companies out in this manner erodes whatever chance they have to recover the fees. We have requested DTTDC to restore the market-based ordering pattern where orders are placed on the basis of sales in retail shops,” said Giri.

“DTTDC liquor stores account for abour 35% of the Delhi market sales. We request the management of DTTDC to ensure availability of all brands at their stores,” said Raju Vazerani, president, India Glycols, a company that makes Soulmate Whisky and BeachHouse XXX rum.

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First Published:27 Dec 2022, 02:07 PM IST
HomeNewsIndiaCIABC slams Delhi tourism corporation for favouring alcohol brands

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