HC to hear beer case on May 12

CUTTACK: The stalemate between the state government and liquor firms over 20% reduction in offer price in the new excise policy will continue for a few more days as the Orissa high court on Wednesday adjourned hearing in the case and posted it to May 12.
Last week, four beer companies, including SABMiller India, Carlsberg India, United Breweries, moved the court over the issue and argued that they would incur huge losses due to reduction in the offer price.
"A division bench of Justices I Mahanty and Biswanath Rath adjourned the hearing after advocate general S P Misra sought time to present his case," said Manoj Mishra, a counsel of the liquor firms.
The advocate general informed the court that the government has decided to rethink its decision and he needs time to make its stand clear.
Excise minister Damodar Rout had recently hinted at revising it to 10%.
Following the decision, five companies refrained from signing an agreement with the government. The situation has resulted in acute shortage of beer in the state.
The new excise policy provides for procurement of top beer brands at 20% less. Offer price is the rate at which they supply the beverage to Odisha State Beverages Corporation.