Home FEATURED NEWS Owners counting losses as Rs 50 crore beer stock expires in Punjab’s closed bars

Owners counting losses as Rs 50 crore beer stock expires in Punjab’s closed bars

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Owners counting losses as Rs 50 crore beer stock expires in Punjab’s closed bars

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Four months into the lockdown, bar owners in Punjab are a worried lot as beer worth an estimated Rs 50 crore they had stocked in their outlets has crossed its due consumption period.

Entrepreneurs in the hospitality industry say the state government should work out a plan for the bar owners in the Unlock 2.0 phase as the sector is struggling for survival.

Industry sources say bottled bear comes with an expiry date of six months whereas the ‘best before’ date of drought beer is one month from the day of packaging of a keg containing 20 litres of the beverage.

Devinder Toor, who is running a hotel in Abohar town for the last 15 years, had sourced for his bar stock packaged in late December onwards.

“Being a hub of pesticide stockists, Abohar witnesses considerable movement of business executives throughout the year. Keeping in mind the usual business, I had purchased about 150 litres of drought beer and 150 cases of bottled beer. Now, my entire stock has expired and I have no support from any quarter to compensate for the loss,” he said.

Satish Arora, the state president of Punjab Hotel, Restaurant and Resorts Association, says there are 1,500 bars and over 500 pubs in various districts.

“Unlike liquor, beer comes has a best before date. Since the lockdown, the hospitality sector is on the verge of collapse as bars have not been permitted to open and there are no customers in restaurants. The state government should announce a relief package to the industry that contributes to about Rs 160 crore per month to the state’s tax kitty,” he said.

Gurdeep Singh Walia from Patiala said since the beer season begins from March onwards and bar owners ensure sufficient stock to cater to their customers.

“Bar owners pay a hefty fee for annual licence renewal and duty on beer sourced from identified dealers. As there is no business now, excise licence fee should be deferred for at least six months and the validity of the bar licence period should also be extended,” he said.

Rakesh Kaul, a leading hotelier in Pathankot, said lowering of electricity tariff from the existing about Rs 12 per unit would be a major relief.

“I had a considerable stock of drought beer for the wedding and tourist season starting March onwards and investment in it is uncertain. The entire stock is not worth consuming now. We do not demand complete waiver on taxes but the sector should be compensated,” added Kaul.

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