Liquor Liberalisation: GIFT City Opens Alcohol Access to Non-Resident Visitors Under New Policy

AHMEDABAD, Gujarat — In a landmark regulatory shift aimed at strengthening its global business appeal, GIFT City has officially permitted non-resident visitors to consume liquor within designated premises. The move marks a significant departure from Gujarat’s long-standing prohibition framework and signals a calibrated liberalisation tailored exclusively for India’s flagship financial hub.

The decision, notified through updated operational guidelines, allows visitors staying in approved hotels and business zones inside GIFT City to legally consume alcohol under controlled conditions.

Below is a detailed breakdown of what the policy allows, who qualifies, and why the move matters economically and politically.

Who Can Consume Liquor Under the New Rule?

The revised framework expands eligibility beyond employees and permanent residents.

Eligible Categories:

• Non-resident business visitors
• Domestic and international tourists staying in approved hotels
• Short-term professionals attending meetings, conferences, or events

Key Condition:
Consumption is permitted only within licensed hotels, clubs, and designated areas inside GIFT City. Alcohol cannot be carried outside the zone.

Where Alcohol Consumption Is Allowed

The permissions are location-specific and tightly regulated.

Approved Locations:

• Licensed hotels inside GIFT City
• Authorized clubs and lounges
• Designated hospitality venues approved by the administration

Retail liquor shops and unrestricted public consumption remain prohibited.

Permit & Compliance Structure

Unlike Gujarat’s general permit-based alcohol system, GIFT City operates on an institution-managed compliance model.

• Hotels and venues will manage guest eligibility
• Visitor identity and stay verification mandatory
• Consumption limited to premises; takeaway banned
• Regular audits and digital compliance reporting enforced

Authorities stress that this is not a blanket relaxation, but a controlled exception.

Why GIFT City Is Being Treated Differently

The policy reflects GIFT City’s special economic and regulatory status.

Strategic Rationale:

• Compete with global financial hubs like Singapore and Dubai
• Improve ease of doing business for foreign investors
• Support hospitality, tourism, and MICE (Meetings, Incentives, Conferences, Exhibitions) sectors
• Align lifestyle infrastructure with international business expectations

Officials note that visiting executives frequently flagged Gujarat’s prohibition laws as a friction point during short business stays.

The Bigger Picture: Gujarat’s Balancing Act

Gujarat continues to maintain statewide prohibition, but GIFT City is emerging as a regulatory exception zone.

• Alcohol access remains restricted to GIFT City boundaries
• No spillover effect into Ahmedabad or Gandhinagar
• Enforcement responsibility rests jointly with venue operators and city regulators

The move mirrors similar exemptions already granted to GIFT City residents and employees under earlier policies.

Revenue, Investment & Hospitality Impact

While liquor sales are not the primary objective, officials expect indirect economic gains.

Anticipated Outcomes:

• Increased hotel occupancy
• Higher international conference footfall
• Improved investor perception
• Stronger positioning as a global financial district

Hospitality operators inside GIFT City have welcomed the decision, calling it “long overdue.”

What Remains Strictly Illegal

To avoid confusion, authorities reiterated clear red lines:

• No liquor shops for the general public
• No alcohol outside GIFT City limits
• No public drinking spaces
• No access for non-verified visitors

Violations will attract penalties under Gujarat prohibition laws.

What Happens Next

• Hotels and clubs will begin onboarding compliance systems
• Visitor guidelines will be published at entry points
• Monitoring teams to conduct periodic checks
• Policy impact to be reviewed after the first operational cycle

Any expansion or tightening will depend on compliance outcomes.