How to Start a FSSAI STATE LICENSE

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Overview of FSSAI State License

To start a food business, obtaining an FSSAI license is essential. The State FSSAI License is mandatory for small and medium-sized manufacturers, retailers, distributors, marketers, and others involved in the food industry. The Food Safety and Standards Authority of India (FSSAI) is responsible for regulating and issuing licenses to food business operators.

This license is required for businesses operating in a single state, with an annual revenue between INR 12 Lakhs and INR 20 Lakhs. The FSSAI State License is valid for five years, with a minimum validity of one year.

FSSAI-Licensed Food Establishments

FSSAI (Food Safety and Standards Authority of India) is the governing body responsible for ensuring food safety, hygiene, and quality across India. All food operators in India must obtain an FSSAI license, which is issued by this government authority.

The FSSAI sets standards for food operators, covering the manufacturing, storage, sale, import, and distribution of food products, ensuring that the food consumed by millions is safe and of high quality. Additionally, FSSAI provides a platform for consumers to access reliable information on food safety and hygiene.

There are three main types of FSSAI licenses:

  1. State License
  2. Central License
  3. Basic Registration

The type of license granted depends on the scale and scope of the business operation. The next section will focus on the State License in more detail.

 
 
 
 

Why is an FSSAI State License Required?

Before starting a food business, it is crucial to ensure that the products used are safe for consumption, as food directly impacts health. To comply with regulations, food business owners must determine whether they are eligible for a Basic, State, or Central FSSAI license. A State FSSAI license is required under the following conditions:

  • Any individual or entity involved in food-related operations—such as manufacturing, selling, transporting, or handling food products—must obtain a state license.
  • The Food Safety and Standards Act of 2006 has introduced significant reforms aimed at improving food quality and hygiene. According to these laws, obtaining an FSSAI registration and license is mandatory to operate a food business.
  • All Food Business Operators (FBOs) must comply with the provisions of the Food Safety and Standards Regulations 2011, which govern the issuance of licenses or registration certificates.
  • The type and scale of the food business determine the specific FSSAI licensing or registration requirements.
  • If a food business operates across multiple states, the main branch or head office must obtain a Central FSSAI license. Each branch will require either a State License or Basic Registration, depending on eligibility.
  • An FSSAI license is a one-time cost with a validity of one to five years, depending on the business needs.
  • Failure to obtain the necessary FSSAI license may result in legal penalties and fines for non-compliance.
 
 
 
 

Benefits of Obtaining a State License from the FSSAI

Acquiring an FSSAI State License offers several key benefits for food operators:

  • Brand Recognition: The FSSAI license and logo help enhance your brand visibility, making it more recognizable among customers and the public.

  • Increased Trust: Having a valid FSSAI license boosts the credibility of your food business at all levels, fostering greater trust with consumers.

  • Customer Retention: The FSSAI logo plays a crucial role in attracting and retaining customers, as it signals commitment to food safety and quality.

  • Competitive Advantage: Food businesses with an FSSAI license stand out from competitors in the market, offering a significant edge.

  • Food Safety Assurance: The license guarantees that food products meet health and hygiene standards, ensuring consumer safety.

  • Opportunities for Growth: The FSSAI license supports business expansion and diversification, providing the framework for scaling operations.

FSSAI State License Eligibility

To qualify for an FSSAI State License, a food business must meet the following conditions:

  • The annual turnover of the business must fall between INR 12 lakhs and INR 20 crores.
  • The business must be based in a specific state, and the application must be submitted to the relevant state government.

Eligible entities include:

  • Food operators with an annual turnover between INR 12 lakhs and INR 20 crores.
  • Food businesses serving a limited consumer base.
  • Vegetable oil production units using solvent extraction processes, including refineries with oil expeller units, within the specified revenue range.
  • Hotels with a four-star rating or lower.
  • Dairy units with a daily processing capacity of 500 to 50,000 liters of milk.
  • Storage facilities with an annual capacity of less than 50,000 metric tonnes.
  • Units involved in the slaughter of more than two but fewer than 50 large animals, or more than 10 but fewer than 150 small animals per day.
  • Food processing units, including repackers, with a daily capacity ranging from 100 kg/liters to 2 metric tonnes.

Required Documents for FSSAI State License Application

To apply for an FSSAI State License, the following documents are required:

  • Details of Partners, Directors, Proprietors, and Executive Members: This includes full addresses and contact details of all individuals involved in the business.
  • Passport-sized Photograph: A recent photo of the applicant is needed.
  • Proof of Identity and Address: Valid identification and address proof of the applicant must be provided.
  • PAN Card: A copy of the applicant's PAN card is required.
  • Proof of Ownership: A copy of the title deeds if the business location is owned by the applicant.
  • Rental Agreement and No Objection Certificate (NOC): If the business premises are rented, the rental agreement and the landlord's NOC must be submitted.
  • Source of Raw Material: Details regarding the source of raw materials used in the food production process.
  • Completed and Signed Application Form: The application form must be correctly filled out and signed.
  • List of Equipment and Machinery: A list of all installed and operational equipment and machinery in the unit.
  • Municipal Certificate of No Objection: A certificate issued by the local municipality confirming no objections to the business.
  • Food Category and Product Specifications: Information about the food categories and detailed specifications of the products being manufactured.
  • E-Code from Directorate General of Foreign Trade (DGFT): A copy of the e-code issued by DGFT, if applicable.
  • Form IX: This document should be filled out for firms that nominate persons for FSSAI registration.
  • Letter of Authorization: A letter of authorization containing the name and address of the responsible person within the business.
  • Food Safety Management Plan: A certificate of the management system plan related to food safety.
 
 
 
 
 

Government Fees for FSSAI State Licenses

The fees for FSSAI state licenses are based on the production capacity of the food business operator. Below is a table outlining the fees for different categories:

Category Fees (per Year)
Manufacturers with nearly 1 million tonnes/day INR 5,000
Example: Milk production of 10,001 to 50,000 liters/day or 501 to 2,500 million tonnes of milk solids annually  
Manufacturers with less than 1 million tonnes/day INR 5 Lakh
Example: Milk solids production of 501 to 10,000 liters/day or 2.5 million to 500 million tonnes per year  
Up to four-star hotels INR 5,000
Food service providers (canteens, restaurants, clubs, caterers, banquet halls, dabbawallas, etc.) INR 2,000

Procedure for Obtaining a State FSSAI License

To obtain a State FSSAI License, follow these steps:

  1. Submit Form B: This form is required when the food unit’s revenue is less than INR 20 crores, and its operations are limited to one state.
  2. Application Review: The department will review the application and may approve or reject it within 7 days of submission.
  3. Issuance of Registration Certificate: If approved, the department will issue a registration certificate, which includes a 14-digit registration number (with a state code) and the applicant’s photo.
  4. Display the Certificate: Once the certificate is received, the food business operator must display it at the business premises during normal working hours.

Non-Compliance and Penalties

Non-compliance with FSSAI regulations can result in severe penalties. Operating a food business without a valid FSSAI license can damage the business’s reputation and result in inspections. If violations are found, authorities may impose fines and other sanctions.

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