A recent liquor price hike led by the Wuliangye Yibin Company has been slated for a second look by price regulators,the National Reform and Development Commission (NDRC).

But, insiders said Friday that the price hike is market-driven and has nothing to do with the government actions. 

"Producers are expected to abide by the NDRC's development guidelines, but the price hike is because of the market. If sales slump, the hike won't stay," Liu Gang, an analyst from Guojin Securities said Friday. Liu's comment was referring to a notice posted on the China Alcoholic Drinks Industry Association's website on Monday. It indicated the NDRC requires associations and large liquor producers to maintain price stability, guarantee market supply, and not to hike prices further.

Five leading liquor producers, including China's high-end spirit band Kweichow Moutai Co Ltd, and Wuliangye Yibin Co were at the meeting.

The NDRC's requirement came after two producers raised their prices earlier this month. Wuliangye said that it raised the factory price by 20 to 30 percent on September 10. Jiangsu Yanghe Brewery Joint-Stock Co Ltd also raised the factory price of Blue Classic series by 10 percent on September 13 due to "rising raw materials" costs.

This is the second time in six months the price hike regulators have asked producers to hold current prices.

At the end of March, the NDRC and Ministry of Commerce talked with four beer producers including Beijing Yanjing Brewery and required them to keep prices stable for the first half of this year.

However, this time, the NDRC does not have a time requirement the liquor producers can wait out. An insider from the China Alcoholic Drinks Industry Association said that it is due to inflation concerns. The Luzhou Laojiao Company said it has no plan to raise the price before the National Holiday next Saturday, but Yanghe pointed out it adopted the price hike policy September 13, according to a report from China Business News Friday.