Haryana makes Rs 123 crore in fresh bids

The decision of the Haryana state excise and taxation department to go in for fresh e-bidding of liquor vends in 42 zones, spanning three revenue districts of Faridabad, Gurgaon (East) and Gurgaon (West), where it suspected cartelization, has helped the state get an extra revenue of Rs 123 crore.

In the first round, where cartelization was suspected, the department received a cumulative bid amount of Rs 663.69 crore in respect of these 42 zones.

But during the fresh e-bidding held on March 27, and 28 for these zones, the department received a cumulative bid amount of Rs 787.11 crore, adding a sum of Rs 123.42 crore to the government kitty.

The decision to go in for fresh bidding has resulted in an increase of 18.6% over the initial bid amount.

During the first round of e-bidding held in all districts from March 14 to 20, it was observed that all districts, except Gurgaon (East), Gurgaon (West) and Faridabad, witnessed high revenue growth, thereby realizing their true revenue potential.

Even districts like Sonipat, Panipat and Kaithal fetched revenue growth of more than 20%, way ahead of the growth witnessed in earlier years.

But on the other had, Gurgaon (West) and Faridabad registered a negative growth of 4.08% and 2.13% respectively, in comparison to the license fee last year. Although Gurgaon (East) witnessed a meagre growth of 1.84%, it no way represented true potential of the district.

Faridabad, Gurgaon (East) and Gurgaon (West) are high revenue potential districts contributing around more than one-third of the total revenue of the state from auction of the retail vends. Historically, these districts have consistently shown annual revenue growth. Even during 2017-18, despite the Supreme Court restriction of 500 metres with regard to location of vends on the national/ state highway, all districts except these three had shown a negative growth.

Faridabad in 2017-18 showed revenue growth of 18.51%, the highest in the state. Similarly, the revenue district of Gurgaon during 2017-18 registered a growth of 10.31%.

The spokesperson said as the bid amount initially received for 2018-19 was not commensurate with true potential of the districts of Gurgaon (East), Gurgaon (West) and Faridabad, a foul play in the form of cartelization was suspected by the government.