New Delhi: The Delhi government will formally exit the liquor business on Tuesday night, when its 600 vendors close forever to make way for swanky, new, privately owned shops that will open on November 17. Under the new excise policy of the Delhi government, up to 850 new private vending machines are expected to open.

However, about 300-350 outlets are expected to open on the first day, causing a booze shortage in the city, according to a Delhi government official. All of the liquor stores will eventually open. "At first, the liquor costs may be little higher, but they will gradually settle down," the official noted. All applicants in 32 zones have received licences for the same.

According to data from the Delhi government, the excise department set a total reserve price of Rs 7,041 crore for all 32 zones and earned Rs 8,917.59 crore through bidding. For the first time in the nation's capital, all government-run liquor stores will close and the business will be handed over to private operators.

People would be able to walk into the new liquor vends and choose the brand of their choice, similar to shopping malls, as per the new excise policy announced in July. The strategy aims to improve the consumer experience by replacing existing liquor vending machines with swanky liquor stores that are at least 500 square feet in size and offer a walk-in service.

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