Chandigarh, Dec. 3 -- As the UT excise and taxation department commences consultations for the Excise Policy 2026-27, liquor contractors in Chandigarh are reporting significant financial losses, with many struggling to meet licence fee payments. The distress in the sector is evident, with an average of 10 to 12 liquor vends being sealed every month due to non-payment of the mandatory licence fee. The department has invited suggestions for new excise policy for year 2026-27 until December 30, with a focus on revenue maximisation and ease of doing business. Key areas under consideration include digitising quota conversions, strengthening the Trace and Track system, and revising financial norms such as advance fees and bank guarantees. Stakeholders have also proposed rationalising duty and VAT with Punjab and permitting extended sale hours for certain categories. The new excise policy will take effect on April 1, 2026. Liquor contractors argue that the current quotas are unrealistic and difficult to sell. The quota for country-made liquor stands at 20 lakh proof litres (4.45 lakh cases), while for foreign liquor it is 8 lakh proof litres (1.18 lakh cases). The Indian-made foreign liquor quota has been fixed at 1.17 crore proof litres (17.4 lakh cases) per year. Contractors claim that liquor prices in Chandigarh are at par with those in Mohali and Panchkula, and in some cases even lesser at border points, causing customers to prefer neighbouring markets. The licence fee for a liquor vend ranges from Rs.2 crore to Rs.13 crore depending on location. Contractors pay 10% of the licence fee during the auction and the remaining 90% in nine instalments, due by December 31. Darshan Singh Kler, president of the Wine Contractors' Association, said, "As UT prepares a fresh policy framework for 2026-27, the liquor we hope that structural reforms, rationalised quotas, and competitive pricing will be incorporated to prevent recurring losses and frequent closures of vends. However, a senior excise official said revenue collection under the current excise year, up to November 30, has reached Rs.693 crore, compared to Rs.579 crore during the same period last year-an increase of 19.69%. At present, 16 liquor vends have been sealed for non-payment of licence fees, official said. In the auction held in March this year, 92 out of 97 liquor vends were sold, while five remained unsold. Despite efforts to boost participation, the UT had already reduced its revenue target from Rs.1,000 crore in 2024-25 to Rs.800 crore for 2025-26. In 2024-25, it managed to collect Rs.743 crore, falling significantly short of the target. Under the 2025-26 policy, the department had reiterated that Chandigarh Industrial and Tourism Development Corporation Limited (CITCO) would operate any unsold vends. However, CITCO declined to take them up, leaving the responsibility unaddressed....