In India, wine is available for consumption in hotels, bars, restaurants, pubs, clubs and discos. However, selling/providing alcoholic beverages, including wine, without a license is illegal. Thus, entrepreneurs intending to sell wine must obtain a wine shop license. The wine shop license differs from state to state since each state has laws regarding liquor sales.
Types of Wine Shop Licenses
The different types of wine shop licenses in India are provided below:
- Retail outlet license: This license is a common wine shop license which allows the shop owner to sell wine directly to consumers.
- Wholesale license - The wine shop owner can get a wholesale license when they want to sell wine to other restaurants or retailers.
- Production license - The wine shop owner must obtain this license when they want to produce wine on the shop premises.
- Beer and wine shop license - The wine shop owner must obtain this license for selling beverages containing a moderate liquor quantity, such as wine and beer.
- Tavern liquor license - This license must be obtained by shops/establishments whose 50% profit comes from selling wine.
Registrations Required for Wine Shop License
A wine shop license is required for selling wines. Apart from the wine shop license, the shop owner must also obtain the following licenses to operate the wine shop business:
- Shop and establishment registration - The wine shop owner must obtain the shop and establishment registration from the labour department of the respective state where the shop is established. This license regulates various aspects of the shop, such as working hours, weekly holidays, leave policy, employment of children, etc.
- Business and trade license - The shop owner must obtain the trade license from the licensing department of the municipal corporation. This license permits the owner to commence the business of wine selling as per the safety regulations issued by the municipal corporation.
- Company registration - The wine-selling business must be registered as a legal entity. Thus, the owner must register the wine shop as an LLP, partnership firm or sole proprietorship before operating the business in the shop.
How to Get Wine Shop License?
Each state has its own laws and regulations governing the sale of alcoholic beverages. The general process for obtaining the wine shop license is as follows:
- Visit the official State Excise Department website.
- Download the wine shop license application from the website.
- Fill the application with the required information, such as the business location, license type, type of liquor and background information.
- Submit the application to the appropriate authority with the relevant documents.
- Pay the application cost.
- The respective state authority will check the information and may ask for further information if required.
- After the application is verified, the authority will issue a notice with the license information to the business or personal address. However, local governments can object to the notice.
- The owner must justify the right to open a wine shop if local government authorities raise an objection.
- When the objections are rejected, the wine shop license is issued by the State Excise Department.
Documents Required For Wine Shop Licence
The following are the documents required for obtaining the wine shop license in India:
- Proof of the applicant’s identity and address.
- Proof of the business premises.
- Proof of business/shop establishment.
- NOC from the municipal corporation and the fire department.
- MOA and AOA of a company, if applicable.
- ITR of the applicant.
- Affidavit from the applicant stating that he/she has no prior criminal records and no outstanding debts.
Wine Shop Licence Cost
The following factors determine the wine shop license cost:
- Licensing type.
- Nature of the occurrence, if applicable.
- Nature of the company.
However, the average cost of wine shop licenses in India is as follows:
- Temporary liquor license for selling wine at gatherings or small parties:
- Rs.7,000 for less than 100 people.
- Rs.10,000 for more than 100 people.
- Permit room license: Rs.1,50,000 for restaurants and wine shops
- State liquor license (annual license price):
- Rs.10,00,000 in Tier-1 cities.
- Rs.7,50,0000 in Tier-2 cities.
- Rs.5,00.000 in Tier-3 cities.
- Rs.2,50,000 in Tier-4 cities.
Disclaimer: The materials provided herein are solely for information purposes. No attorney-client relationship is created when you access or use the site or the materials. The information presented on this site does not constitute legal or professional advice. It should not be relied upon for such purposes or used as a substitute for legal advice from an attorney licensed in your state.
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