Amazon.com Inc has obtained approval to deliver alcohol in West Bengal, according to a document observed by Reuters, stating the US e-commerce giant’s first strike into the country’s multi-billion-dollar sector.
In a notice on Friday, West Bengal State Beverages Corp, the sanctioned agency to implement online retail of liquor trade in the state, revealed Amazon was one of the companies found to be qualified for registration with authorities.
Amazon was been invited to sign a memorandum of understanding with the state, said the notice, which was not previously been reported. Previously, the two companies, Amazon and BigBasket did not replied to the request for the comment.
Amazon’s desire in distributing alcohol in West Bengal marks a fearless move to make inroads into a market that is worth $27.2 billion, according to estimates by IWSR Drinks Market Analysis.
Over the years, Amazon has grown its e-commere operations in India as majority of the people go online to shop for everything from groceries to electronics. The company has accomplished $6.5 billion in investments in India, one of its key profit markets.
India’s top two growing food-delivery startups, Swiggy and Zomato, started delivering alcohol in some part of the cities previous month, as they catch sight of ‘cash in’ on the high demand for booze as many states come out of a lockdown aimed at keeping up with the coronavirus.
India regulated liquor sales when it declared a nationwide lockdown in the month of March. Huge volumes of people queued up at liquor stores in May when few restrictions were relaxed, and the liquor industry had been persuading with many states to get a thumbs-up for online delivery.
However, each state conforms its own alcohol sales policy. West Bengal previous month had companies over to express interest for “controlling electronic ordering, purchase, sale and home delivery of alcoholic liquors from licensed retail outlets” to verified legal-age consumers in the state.