BRIEF INTRODUCTION OF FSSAI LICENSE
Every business willing to start a food business is compulsorily required to obtain a Food Business Operator License. For granting such a license under the Food Safety and Standards Act, 2006, the Food Safety and Standards Authority of India prescribed certain procedures to obtain the same. This license is an essential document to start any activity involving manufacturing, production, and sale of food and related products. Food business generally includes processing and manufacturing of raw food material, packing and transportation and distribution of final food item along with services including catering services, sale of food items and import and export of food. Such a license serves as the medium to ensure food quality and hygiene.
The business requiring such license is required to file an application and the same be submitted with the registration department of FSSAI. By visiting the online portal of FSSAI, the applicant can get the information regarding the application form and the supporting documents required as in compliance with the respective State or Central Government.
DOCUMENTATION REQUIRED FOR FSSAI LICENSE
- Form B, duly filled and attested by the authorized person.
- Copy of layout plan clearly mentioning the dimension of the processing unit.
- Complete list and details of authorized members of the concerned business.
- Complete details of machinery and equipment to be used.
- Copy of ID and address proof of every authorized person.
- Nature of the business i.e., the type of food article to work upon.
- Letter of authority given to the authorized person representing the manufacturer.
- The detailed plan for the distribution of the product along with the delivery channel to be used.
- Detailed and verified report on the water residues due to pesticides.
- Document validating the actual turnover of the entity.
- Copy of EOU certificate duly received from the Department of Commerce.
- NOC received from the municipal corporation working under the area where the business is situated.
- Detailed report on chemical and biological treatment of water during the business operation.
- Document proofing the address/place of business activity in the form of -
- Sale deed duly executed and stamped; in case the land is owned.
- Rental agreement in case the land is taken on lease.
- Electricity bill, Telephone, and water bill, clearly specifying the full address of the place of business.
- Any document evidencing the relation between the members of the business-like, the MOA, or partnership deed, proprietorship affidavit etc.
- Certificate issued under the Foods Safety Management System.
- Complete details regarding the procurement of milk in case the business is into the processing of milk or its related products, or the same is used for processing of any other food item.
- Complete details of the source of procurement of raw material required for manufacturing and processing of their product.
- NOC received from FSSAI.
CATEGORIES FOOD BUSINESS OPERATOR LICENSE
The license issued under Food Safety and Standards Act, 2006 are generally of 2 types namely – State Level License and Central Level License.
Generally, all the producers or manufacturers, who small or medium scale of operations are regulated and provided license by State Level Licensing authority, while those with large scale operations come under Central Level Licensing authority.
A business entity is termed as a small or medium-scale entity if its annual turnover lies between Rs. 12 lakhs to Rs. 20 crores. Businesses with annual turnover exceeding Rs. 20 crores are termed a large-scale business entity.
Based on yearly sales, an FBO has to either apply for common registration in FORM A with FSSAI or apply for a License given by FSSAI in FORM B.
- Yearly Turnover under 12 Lakhs needed Registration FORM A
- Yearly Turnover 12 Lakhs to 20 Crores needed State License FORM B
- Yearly Turnover Cross 20 Crores needed Central License.
LICENSING UNDER DIFFERENT SECTORS
There are entities providing food services under different sectors such –
Food operators providing their services in railways shall be granted the FSSAI license by the Railways Appointed Officers/FSOs appointed by the Food Authority on a time-to-time basis.
2. AIRWAYS AND SEAWAYS
Similarly, the business entity is informed by the Food Authority on a time-to-time basis via the Online FLRS system for licensing required for food premises in Airport/Seaport.
WHY SHOULD OBTAIN AN FSSAI LICENSE?
- It aids in the removal of numerous regulations.
- Consumers have a high level of trust in the safety and quality of food.
- It facilitates trade while maintaining consumer safety and a larger market share.
- It contributes to the advancement of food product innovation.
WHAT ESSENTIALLY IS THE FSSAI?
- Small FBOs do not require a license; only registration is required.
- Food product licensing should be decentralized.
- Simple and quick license issuance with a one-month time frame.
- This act ensures consumer safety and full compensation to victims in the event of injury or death.
IMPORTANT INSTRUCTION FOR THE FSSAI
- The operator of a food business must be registered.
- If a Food Business Operator operates in more than one state, then an additional Central License required for the Head Office.
- Importers are only permitted to obtain one central license at their Import Export Code address.
- A single presumption with multiple types of businesses is only eligible for one registration.
- The rules and conditions of registration must be followed by the Food Business Operator.
VALIDITY AND PENALTY UNDER FSSA
The license issued by the Food Safety and Standards Authority of India is valid up to a period of 1 to 2 years and the same be extended to 5 years for certain specified food businesses. The business entity holding such food licenses is required to get the same renewed before the expiry of the said period to avoid any type of penalty levied under the law.
Businesses not complying with the provision of the Food Safety and Standards Act, 2006, could lead to the imposition of penalty in the form of imprisonment of up to 5 years or monetary penalty of up to Rs. 5 lakhs or both.