Chandigarh Liquor Vend Auction:In the fifth e-auction by Chandigarh’s Excise Department, 11 out of 17 liquor vends remained unsold. The department earned ₹39.60 crore, with high bids in Sector 22. Read full details.
Chandigarh: In a continuing struggle to sell off retail liquor vends, the UT Excise and Taxation Department faced yet another setback as 11 out of 17 liquor vends remained unsold during the fifth round of e-auction held on May 15.
Despite the lukewarm response, the department managed to raise ₹39.60 crore from just six successful bids, surpassing the total reserve price of ₹24.32 crore. The auction highlighted growing concerns among authorities over repeated unsold units and rising bidder defaults.
Sector 22 Emerges as the Hotspot
The auction saw a record-breaking bid of ₹10.95 crore for the liquor vend located in Sector 22-C market, against its reserve price of ₹4.13 crore. Another vend in the same sector, located opposite the bus stand, fetched the second-highest bid of ₹10.50 crore, far above its base price of ₹3.26 crore.
The third-highest offer came for the Sector 40-C vend, which was auctioned at ₹6.21 crore, just above its reserve price of ₹6.03 crore. These premium bids show that while some markets continue to attract aggressive bidders, the overall response remains mixed.
Auction Struggles Continue: A Look Back
This fifth e-auction is part of a series of attempts by the Excise Department to sell off unallocated liquor vends for the 2025–26 fiscal year under the new Excise Policy.
- May 8 (Fourth Round): Out of 21 vends, 10 remained unsold. The department raised ₹60.76 crore against a reserve price of ₹47.97 crore.
- April 29 (Third Round): Only 7 out of 28 vends found takers.
- April 21: 48 liquor vends, previously cancelled due to non-payment of bank guarantees, were re-auctioned. Only 20 were sold, generating ₹131 crore against a reserve price of ₹109 crore.
- March 21: Initially, 96 out of 97 vends were allotted, raising a whopping ₹606 crore. However, 48 licences were later cancelled due to payment defaults. The department forfeited ₹23 crore in earnest money and security deposits.
Department Cracks Down on Defaulting Bidders
In a strict move to restore credibility to the auction process, the Excise and Taxation Department has blacklisted seven highest bidders for failing to deposit the mandatory security money within the stipulated time frame.
These defaulting units included four in Sector 22, and one each in Sector 20, Industrial Area Phase I, and Manimajra (opposite Shivalik Garden). Officials say such negligence not only disrupts the fairness of the e-auction process but also reflects a lack of financial intent and seriousness among bidders.
“Such conduct not only disrupts the fair auction process but also reflects a lack of seriousness and financial intent, raising questions about the genuineness of the bids,” said an official from the department.
Challenges Ahead
With multiple rounds of auctions yielding inconsistent results, it’s evident that the Excise Department is facing an uphill task in finalizing the allocation of liquor vends in Chandigarh. Stakeholders suggest that market saturation, high reserve prices, and stricter financial compliance norms could be key reasons behind the subdued response.
What Lies Ahead?
The department is expected to reassess its auction strategy in the coming weeks, possibly tweaking reserve prices and introducing stricter pre-qualification norms for bidders to avoid defaults. The pressure to stabilize the liquor retail structure in the UT remains high, especially as the Excise Policy 2025–26 enters its implementation phase.