Features of FSSAI License
An FSSAI licence ensures that food businesses operate in accordance with standardised safety and quality guidelines.
Key features include:
- Mandatory compliance for all food businesses in India
- Certification confirming adherence to food safety and hygiene standards
- Enhanced consumer trust and brand credibility
- Standardised food safety regulations across states
- Clear food labelling requirements
- Periodic safety audits and inspections
- Different licence categories based on the scale of the business
- Mandatory renewal to continue operations
These features help maintain consistent safety practices across the entire food supply chain.
Importance of FSSAI license
Food safety is a vital aspect of the food industry. Ensuring that food products are hygienic and safe for consumption is both a legal requirement and a responsibility towards consumers.
An FSSAI licence plays a key role in regulating the food sector in India.
Key reasons why the licence is important include:
- Legal authorisation to operate a food business
- Protection against regulatory penalties
- Compliance with national food safety regulations
- Improved customer trust and brand reputation
- Easier expansion into larger markets
Businesses operating without proper licensing may face fines, legal action, or even closure.
Benefits of procuring FSSAI license
Obtaining an FSSAI licence offers several advantages for food businesses.
- Builds consumer trust
Consumers are more likely to purchase from businesses that adhere to government-approved safety standards. - Legal protection
The licence helps safeguard businesses from penalties arising due to non-compliance. - Business expansion
A licensed food business can expand operations, enter new markets, and collaborate with larger distributors. - Improved market reputation
Displaying an FSSAI licence number reflects credibility and professionalism. - Better access to financing
Regulatory compliance can improve eligibility when applying for financial products, such as business loans from institutions like Bajaj Finserv.
Types of FSSAI license
The Food Safety and Standards Authority of India issues different licences depending on the size and turnover of the food business.
1. FSSAI Basic Registration
- For small food businesses
- Annual turnover up to Rs. 12 lakh
- Suitable for small vendors, petty retailers, and home-based food businesses
2. FSSAI State Licence
- For medium-scale businesses
- Annual turnover between Rs. 12 lakh and Rs. 20 crore
- Suitable for restaurants, medium-sized manufacturers, and food processors operating within a single state
3. FSSAI Central Licence
- For large food businesses
- Annual turnover above Rs. 20 crore
- Required for businesses operating across multiple states or involved in import and export
4. FSSAI Importer Licence
Businesses importing food products into India for commercial purposes must obtain this licence.
5. FSSAI Exporter Licence
Food exporters supplying products internationally must obtain this licence to comply with global food safety standards.
Difference between FSSAI registration and FSSAI license
| Parameter | FSSAI registration | FSSAI license |
| Turnover | Up to Rs. 12 lakh | State: Rs. 12 lakh–Rs. 20 crore; Central: Above Rs. 20 crore |
| Business size | Small businesses | Medium and large businesses |
| Documentation | Minimal documentation | Detailed documentation |
| Compliance level | Basic safety compliance | Advanced food safety standards |
| Fees | Rs. 100 per year | Rs. 2,000–Rs. 7,500 depending on license |
Who needs FSSAI registration?
Almost every food-related business must register with the Food Safety and Standards Authority of India.
Food business operators who require registration include:
- Food manufacturers and processors
- Storage facilities and warehouses
- Food transporters and distributors
- Retailers and grocery stores
- Restaurants and food outlets
- Importers and exporters
Any business involved in the food supply chain must obtain either FSSAI registration or a licence, depending on the scale of its operations.
Food business operators who require FSSAI registration?
In the landscape of India's food industry, the role of the Food Safety and Standards Authority of India (FSSAI) is paramount. This regulatory body ensures that food businesses operate within the framework of safety and quality standards, making FSSAI registration or licensing a crucial step for anyone in the food business sector. Interestingly, obtaining an FSSAI license can also be a strategic move for businesses looking to secure a business loan for expansion.
Virtually all entities involved in the food business need to register with FSSAI. This includes, but is not limited to:
- Manufacturers and processors
- Storage units and warehouses
- Transporters and distributors
- Retailers and eateries
- Importers and exporters
Eligibility Criteria for FSSAI License in India
The Ministry of Health and Family Welfare has set specific eligibility conditions for businesses applying for an FSSAI licence. Applicants must check the following:
- Annual turnover:
State Licence: Between Rs. 12 lakhs and Rs. 20 crore
Central Licence: Above Rs. 20 crore - Production capacity:
State Licence: Up to 2 MT per day for food, or up to 50,000 litres per day for dairy
Central Licence: More than 2 MT per day for food, or over 50,000 litres per day for dairy - Business type:
State Licence: Operations within a single state
Central Licence: E-commerce operators, import–export units, and multi-state businesses - Area of operation:
State Licence: Limited to one state
Central Licence: Operating across multiple states - Storage capacity:
State Licence: Up to 50,000 metric tonnes
Central Licence: Above 50,000 metric tonnes
Documents required for FSSAI license
Food business operators need to understand the documentation required for an FSSAI licence. The key documents include:
- Form IX: Needed for basic and state registration, including nomination details.
- Address proof: To verify the official business address.
- Government ID: Any valid identity proof of the applicant.
- Form A: Declaration form required for basic registration.
- NOC from local authorities: A No Objection Certificate from the municipality.
- Layout plan: A detailed layout of the premises for state registration.
- Raw material details: Information about the source of raw materials used.
- Form B: Application or renewal form for state and central licences.
- Food Safety Management Plan: Required for central licence applicants to outline food safety practices.
- Partnership deed or self-declaration: Proof of business structure for state registration.
How to get an FSSAI license in step by step procedure
Food businesses can apply through the official FoSCoS portal.
- Step 1: Application submission
Submit Form A or Form B online, depending on the type of licence required. - Step 2: Document upload
Upload all required supporting documents and provide complete business details. - Step 3: Verification
The authorities review the submitted application and documents. - Step 4: Inspection
An officer from the Food Safety and Standards Authority of India may inspect the premises to verify hygiene standards. - Step 5: Licence issuance
Once approved, the FSSAI licence certificate and registration number are issued.
Cost of obtaining a food license
| License type | Fees |
| Basic registration | Rs. 100 per year |
| State license | Rs. 2,000 – Rs. 5,000 |
| Central license | Rs. 7,500 |
Validity of FSSAI license
FSSAI licenses are valid for a period ranging from 1 to 5 years, after which they need to be renewed to continue operations.
FSSAI license renewal
FSSAI license renewal must be applied for within 30 days before the expiry of the current license. Failing to renew on time can result in a business having to apply anew, with potential penalties for operating in the interim. Being non-compliant with regulatory requirements such as FSSAI registration can affect your standing with lenders and negatively impact your business loan eligibility.
FSSAI license number meaning
An FSSAI licence number is a 14-digit unique identification number issued to every registered food business by the Food Safety and Standards Authority of India.
This number must be:
- Displayed on food packaging
- Printed on product labels
- Clearly shown at business premises
Consumers can use the licence number to verify the authenticity and registration status of a food business.
Penalties for FSSAI non-compliance
| Violation | Penalty |
|---|
| Substandard food quality | Up to Rs. 5 lakh |
| Misleading labelling | Up to Rs. 3 lakh |
| Deceptive advertising | Up to Rs. 3 lakh |
| Unhygienic processing | Up to Rs. 3 lakh |
Serious violations may also lead to suspension of the business or legal prosecution.
Consequences of operating without FSSAI registration
Operating without FSSAI registration can lead to:
- Heavy fines of up to Rs. 5 lakh or imprisonment of up to six months
- Seizure of food products
- Shutdown of business operations or loss of reputation
Conclusion
For food business operators, obtaining an FSSAI registration or license is not just a regulatory requirement; it is a strategic business move. Beyond ensuring compliance and building consumer trust, it positions businesses more favourably when seeking business loans for expansion. With financial institutions often considering regulatory compliance as a marker of a business's reliability, an FSSAI license can significantly enhance a food business's eligibility for substantial financial support. Thus, navigating the FSSAI licensing process becomes a crucial step toward growth and success in the food industry.
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