Illegal liquor trade spirals out of control in Palampur

The illegal sale of liquor in Palampur and its adjoining areas has become a growing menace, raising serious concerns over both law enforcement and fiscal losses to the state exchequer. Open and unchecked, this unlawful trade flourishes across the towns of Palampur, Jaisinghpur and Baijnath, posing a grave threat to public.

Liquor is being openly sold at vegetable stalls, cloth shops, dhabas, hotels and roadside eateries — in blatant violation of the Himachal Pradesh Excise Act. What’s more troubling is the silence and inaction of the police and the Excise Department, despite being fully aware of the situation.

A local liquor contractor, speaking to The Tribune, revealed that most of the illicit liquor in the region is smuggled in from neighbouring states like Punjab and Chandigarh. Since no excise duty or licence fee is paid, liquor is sold at one-third of the market price, undercutting licensed vendors and resulting in massive losses to both legal businesses and the state treasury.

“Licensed liquor traders are struggling to survive. Hundreds of contractors were declared defaulters last year as they were unable to pay their licence fee,” a contractor said. He also warned of the looming threat of hooch tragedies, as unregulated liquor was often adulterated and lacked proper alcohol content certification.

This year, liquor vends were auctioned at significantly higher rates, further burdening licensed vendors. On top of that, the state government imposed various cesses per bottle, increasing operational costs. Most contractors have already exhausted their working capital and bank credit limits, with many unlikely to pay their dues after December.

The contractor blamed the surge in illegal trade on acute manpower shortages in both the police and the Excise Department. “The situation has gone from bad to worse,” he said, “with no visible crack down on illegal sellers.”

In response, a senior officer of the Excise and Taxation Department acknowledged the issue, stating that the department was aware of the illegal trade and that appropriate action would be taken. “All vends were auctioned transparently and contractors willingly quoted the prices. They must also cooperate with the department in tackling this challenge,” the officer said.

As illegal liquor continues to flood the market unchecked, the stakes grow higher — not just for legitimate businesses and the government revenue, but for public safety as well.