From the Knowledge Centre
FSSAI Registration, State Licence or Central Licence: Which One Does Your Food Business Need?
The Food Safety and Standards Act, 2006 requires every food business, from a tea stall to a manufacturing plant, to be registered or licensed with FSSAI. Applying in the wrong category is common. It leads to rejection, or to a licence that does not legally cover what you sell.
The three categories
| Category | Who it is for (broadly) |
|---|---|
| Basic Registration | Petty food businesses with annual turnover up to ₹12 lakh, such as small retailers, hawkers, home-based sellers and temporary stalls |
| State Licence | Turnover above ₹12 lakh and up to ₹20 crore, and mid-sized manufacturers, storage units, restaurants and caterers within the capacity limits |
| Central Licence | Turnover above ₹20 crore, and certain activities regardless of turnover |
For manufacturers, the category also depends on production capacity, for example litres of milk per day or tonnes per day of other food. A small dairy can need a State licence even when its turnover is low.
Activities that always need a Central licence
- Importers of food items, including food ingredients and additives
- E-commerce food business operators, meaning the platform operator. Sellers on the platform need a licence or registration for their own premises
- 100% export-oriented units
- Food businesses operating in premises of Central Government agencies, such as railways, airports and seaports
- Operators with premises in more than one state, which need a Central licence for the head office in addition to State licences for each unit
E-commerce and cloud kitchens
If you sell food online, through your own website or through aggregators:
- each kitchen or warehouse needs its own registration or licence
- the licence number must appear on the platform listing and on invoices
- the platform will verify your licence and can delist you if it lapses
- labelling and display rules apply to online listings as well as to packages
For businesses selling on ONDC or marketplace platforms, the platform's own onboarding checks now include FSSAI validation, so keep the licence details consistent with your GST and trade name.
Validity, renewal and annual returns
- A licence or registration can be taken for one to five years. Renew it before expiry. Late renewal attracts a penalty for each day of delay, and after a point a fresh application is needed.
- Manufacturers and importers holding a licence must file an annual return in Form D-1 by 31 May for the previous financial year. A late fee applies for each day of delay. Many licensees overlook this until they apply for renewal.
- Any change in products, capacity, premises or partners requires a modification application before the change is made.
Practical tips
- Select food categories carefully on FoSCoS. Selling products outside the categories in your licence is a violation.
- Keep a water test report and pest control records ready if you are a manufacturer.
- A Food Safety Supervisor trained under FoSTaC is required for licensed premises.
The information in this article reflects the law as on the date of publication and is for general guidance only.