Companies not too keen to implement Haryana's liquor at workplace policy

Executives said that while the policy is progressive and intended to create a new precedent, it is only slowly gaining traction

The first liquor policy in India, which permits offices in Haryana to serve liquor, isn't taking off because of cultural barriers, strict criteria, and the easy availability of liquor vends, reported The Economic Times (ET) citing executives.

They also noted that so far, no one has applied for the licences necessary to permit offices to serve alcohol on-site.

Vinod Giri, director general of the Confederation of Indian Alcoholic Beverage Companies (CIABC), said that the majority of workplaces in India do not support mixing work and alcohol.

Although this is a positive step by the state government, mindsets need to change for the policy to be successful, he added.

 

Executives claimed that while the policy is progressive and intended to create a new precedent, it is only slowly gaining traction and may not have a significant impact on volume sales unless certain policy requirements and cultural norms are relaxed.

The founder of the beer and pub chain Beer Cafe, Rahul Singh, called the policy a reformative step towards responsible workplace culture but added, "The restrictions of 1 lakh square foot office space with 5,000 employees remains a tall order - very few are qualifying."

Since the policy's implementation on June 12, there have been no applications for licences.

"HR heads have expressed a shift in workplace culture. Also, while it is a progressive policy, the cost, criteria, and lack of comprehensive licence are missing gaps," Nita Kapoor, chief executive of ISWAI (International Spirits & Wines Association of India), told ET.

The Haryana government approved the possession and consumption of alcohol in corporate offices with 5,000 or more employees and a minimum covered area of 100,000 square feet in May.

The policy also reduces excise duty on mild beer, wine, and draught beer and was initially viewed as a move that would assist the alcobev (alcohol beverage) industry in regaining growth momentum following prolonged Covid-19 pandemic-induced disruptions, particularly in Gurgaon, which has a large presence of multinationals and BPO companies across technology and IT services, automobiles, consumer goods, and healthcare.