French spirits giant Pernod Ricard has once again been barred from selling its products in Delhi, as the city’s Excise Department denied its liquor licence application for the third consecutive year. The rejection keeps brands like Chivas Regal, Absolut, Glenlivet, and 100 Pipers off Delhi’s shelves and bar menus, extending the company’s absence from the capital’s lucrative market.
In a 16-page order issued on May 9, Delhi Excise Commissioner Sunny K. Singh cited ongoing criminal investigationsand concerns over the company’s “moral standing” as key reasons for the refusal. The order referenced an Enforcement Directorate (ED) charge sheet that accuses the firm of providing illegal financial backing to retailers to artificially boost market share – violating Delhi’s liquor laws.
Singh noted that even in the absence of formal charges by the CBI, the ED’s case warrants “administrative caution,” especially in matters involving public trust and state revenue.
Pernod Ricard’s licence troubles began in 2022, following the collapse of Delhi’s 2021-22 excise policy, which triggered investigations by the CBI and ED into alleged corruption. Its repeated attempts to regain a wholesale (L1) licence under the earlier 2020-21 excise regime have so far failed.
Delhi accounts for roughly 5% of Pernod Ricard’s $3.13 billion India sales, making this continued exclusion a significant blow to its operations.
The company still has the option to appeal to the financial commissioner, but for now, it remains sidelined from one of its most vital Indian markets.
