Operate in the food business with Food License

A food license is one of the keys and mandatory registrations that need to be procured by all kinds of food business operator (FBO) in India. An FBO is defined as any kind of public or private business entity that is involved in any stage of manufacturing, packaging, processing, storing, transporting, distributing, importing, selling of food services or raw materials, marketing, retailing etc.s

Why Food License?

FSSAI (Food Safety and Standards Authority of India) is the apex body that certifies an entity with the Food safety license. The FSSAI was set up in accordance with the Food Safety and Standards Act, 2006. The primary objective of the organization is to ensure the availability of safe and wholesome food that is meant for consumption by human beings. The license is also an effective method to make FBOs accountable and responsible for the food quality. Other than safety, the FSSAI also is entrusted with the task of overseeing that sub-standard food is not sold in the country and that all articles of food available for consumption are free from adulteration.

The penalty of operating any of the above-mentioned business without the food license is enough to attract punishment including imprisonment of up to six months and payment of fine up to Rs. 10 lakh.

Types of FSSAI Food License

Depending upon the annual turnover of the business entity and/or size of the operations of the entity, the following types of license are given:-

1.    Central license – EOUs, all importers, entities with an annual turnover of more than Rs. 20 crores, FBOs with operations in more than one state, manufacturers with large-scale operations, for example, a meat processing unit with more than 500 kg meat every day or 150 MT per annum.

2.    State license – is applicable for a business that has annual turnover more than Rs. 12 lakh but less than Rs. 20 crore, medium-sized manufacturing units like a meat processing unit with a capacity to process up to 500 kg meat every day or 150 MT per annum.

3.    FSSAI registration is meant for smaller scale business that has less than Rs. 12 lakh turnover in a year. For example, a slaughtering house that slaughters 2 or less than 2 large animals or 10 or less than 10 small animals or up to 50 poultry birds every day are eligible for the basic registration.

4.    Railway license applicable for Konkan Railways

All the above types of FSSAI license have a maximum validity of five years and minimum validity of one year.

Procedure for obtaining Food Safety License in India

1.    In order to apply for the Central food safety license and the state food license Form, B needs to be filled up. For the basic FSSAI registration, Form-A needs to be filed.

2.    In order to obtain the basic registration and state license, the food license application needs to be made to the regional FSSAI office of the state government where the operation is based. The Central license needs to be obtained from the central government.

3.    The documents that are required differ for all the three types. The common documents required are –

·         Detailed list of partners, promoters, members with contact details

·         List of equipment and machinery, the capacity and the horsepower being used.

·         Government Identity and address proof of the directors, proprietors, partners

·         A complete list of all food categories being manufactured

·         Ownership proof of the premises.

·         Rental agreement and NOC from the owner in case of rented property.

·         Utility bills

·         Certificate of Incorporation, Memorandum and Articles of Association, Partnership Deed.

For Food license online, the FBO needs to register at the Food Licensing & Registration System (FLRS). After registration, the operator needs to log in, fill up the requisite Form online, upload the documents required and make the payment.

The concerned authorities will review all documents and the application form. If satisfied the relevant license is issued. The FSSAI license is a 14-digit number that needs to be printed on the packaging at all times.

Source url - https://swaritadvisorsindia.wordpress.com/2018/10/24/operate-in-the-food-business-with-food-license/