Saturday, November 23, 2024
Saturday, November 23, 2024

What is the FSSAI License Fees in India?

by Aishwarya Agrawal
FSSAI Licence Cost

Anyone active in the food industry must be FSSAI registered. It covers everything ranging from food processing, food manufacturing, packaging, distributing or selling. To manage your business, you should obtain a Food License. The Food Safety and Standards Authority of India (FSSAI) issues the FSSAI license. This institution inspects food establishments in accordance with the standards and regulations outlined in the FSSAI Act of 2006.

The FSSAI registration fees start at Rs 100 and are limited mostly to Rs 7500.  The ranges differ depending on region and the nature of the business. FSSAI registration fees are divided into two categories: government fees and professional fees. The government officially charges application handling costs, whereas specialists like at StartupFino charge expert fees to prepare your application.

FSSAI Registration/License types

Following are the three types of FSSAI licenses available in India:

  1. Basic FSSAI Licence:
  • Required for small-scale food businesses.
  • Annual turnover below Rs. 12 lakhs.
  • Obtained through FSSAI Registration.
  1. FSSAI State Licence:
  • Required for manufacturers, storage, transporters, retailers, marketers, distributors, etc.
  • Issued by State Authorities in each state.
  • Annual turnover more than Rs. 12 lakhs but below Rs. 20 crores.
  1. FSSAI Central Licence:
  • Issued by FSSAI Regional Offices across the nation.
  • Valid for a period of 1 to 5 years.
  • Required for food businesses with an annual turnover exceeding Rs. 20 crores.

Advantages of Obtaining an FSSAI Licence Registration

Despite being a legal requirement, FSSAI Basic Registration provides a number of benefits to food company entrepreneurs. The following are some of the most popular advantages of obtaining FSSAI Registration:

Improve Customer Retention:

  • By complying with FSSAI guidelines, businesses can ensure the safety and quality of their products, leading to increased customer satisfaction.
  • Meeting regulatory requirements builds trust and loyalty among customers, enhancing their likelihood to continue purchasing from the company.
  • Good compliance practices can help businesses establish a reputation for reliability, leading to positive word-of-mouth recommendations and customer retention.

Instil Confidence in the Target Consumer:

  • FSSAI compliance demonstrates a commitment to food safety and quality standards, instilling confidence in the target consumer.
  • Consumers are more likely to trust and prefer products that have met the necessary regulatory requirements, which can positively impact brand reputation and consumer perception.
  • Compliance with FSSAI guidelines assures consumers that the company takes their health and well-being seriously, leading to increased trust and a higher likelihood of consumer engagement.

Mitigate Legal Issues:

  • Adhering to FSSAI guidelines ensures that the company operates within the legal framework, reducing the risk of legal complications and potential penalties.
  • Compliance helps businesses avoid legal disputes, fines and disruptions in operations that may arise from non-compliance with food safety regulations.
  • Staying updated with regulations allows the company to address potential issues proactively and avoid legal consequences that could negatively impact its reputation and operations.

Ensure Business Growth and Increased Earnings:

  • Compliance with FSSAI guidelines opens up opportunities for business expansion, as it enables companies to enter new markets and reach a wider consumer base.
  • Meeting regulatory requirements is often a prerequisite for partnerships, collaborations and government tenders, which can contribute to business growth.
  • Compliance can enhance market competitiveness, as businesses that prioritise food safety and quality standards are more likely to attract investors and secure funding.
  • Positive compliance records can lead to increased consumer confidence and sales, ultimately driving business growth and contributing to increased earnings.

What Documents Are Required for an FSSAI Licence / Registration?

If you want to register for FSSAI Registration / Licence in your business, you will need certain documents that are required to complete the registration process. To complete your registration flawlessly, the documents supplied for registration are given as below:

The documents required for FSSAI Licence/Registration include:

  • Duly signed application form.
  • Passport-size photo.
  • Proof of property ownership.
  • Identity proof of the applicant.
  • Business address proof.
  • Rent agreement (if applicable).
  • Food safety management system plan.
  • List of food items to be used.
  • Incorporation certificate (for businesses).

FSSAI Registration/License Fee

Following are the licence fees to be paid to FSSAI for registering with the food regulatory authority:

Central Licence:

  • New licence fee:
    • The fee for a new Central Licence is 7500 rupees.
  • Renewal of licence fee:
    • The fee for renewing a Central Licence is 7500 rupees.
  • Licence modification fee:
    • A fee of 7500 rupees is applicable for modifying a Central Licence.
  • Duplicate licence fee:
    • In case of a duplicate Central Licence, 10% of the applicable fees is charged.

State Licence:

  • Productions exceeding 1 MT and milk units ranging from 10001 LPD to 50000 LPD or 501 to 2500 MT per annum:
    • For such productions, a fee of 5000 rupees is applicable.
  • Productions below 1 MT and milk units ranging from 501 to 10000 LPD or 2.5 MT to 500 MT per annum:
    • A fee of 3000 rupees is charged for such productions.
  • Hotels up to 4 stars:
    • The fee for obtaining a State Licence for hotels up to 4 stars is 5000 rupees.
  • All food service providers and other food business operators:
    • A fee of 2000 rupees is applicable for all food service providers and other food business operators.

FSSAI Basic Registration:

  • Registration fee:
    • In the case of Basic FSSAI Registration, a fee of 100 rupees is charged as the registration fee.

The FSSAI fee structure for obtaining an FSSAI licence/registration is as follows:

Type of Licence/RegistrationCentral Licence (1 Year)State Licence (1 Year) approx.FSSAI Registration (1 Year)Konkan/Indian Railway (1 Year)
New ApplicationRs. 7500Rs. 2000-5000 Rs. 100Rs. 2000
Renewal ApplicationRs. 7500Rs. 2000-5000Rs. 100 Rs. 2000 
Modification of Licence/CertificateRs. 7500Rs. 2000-5000Rs. 100Rs. 2000 
Duplicate Licence/Certificate10% of Applicable Licence Fee10% of Applicable Licence Fee10% of Applicable Certificate Fee10% of Applicable Certificate Fee

Important Points to note on the FSSAI Fee Structure 

The FSSAI licence and certificate are valid for five years and the cost of renewing the FSSAI licence is determined by the number of years selected.

  • The cost of a duplicate Food Licence will be 10% of the applicable licence fees.
  • The cost of renewing an FSSAI Central Licence is Rs. 7500 each year.
  • The charge to upgrade the FSSAI Central Licence is Rs. 7500.

Businesses may take help of the detailed guide available on the official FSSAI website at https://foscos.fssai.gov.in/assets/docs/KindofBusinessEligibilityLatest.pdf to find out the accurate registration and licencing fees as per their kind of business.

How to Obtain an FSSAI Licence?

The following is the procedure for obtaining an FSSAI licence in India:

  1. Fill out the form

To apply for an FSSAI licence for your food business, you must complete an online form. These forms are freely accessible on their website and may be completed quickly in order to put your business on the map for registration.

  1. Send the supporting documents

You must send the documentation requested by the FSSAI in order for them to comprehend the business and the products that will be offered under the company name. It is required to complete the FSSAI registration process.

  1. Additional Scrutiny by authorities

The FSSAI sends your application to the local FBO for additional monitoring in order to obtain all of the information possible regarding the food goods that you will sell and to have the requisite quality checks performed.

  1. Pay the applicable charge

You will next be required to pay the registration/licencing fee associated with the licence or registration you have applied for. The applicable fees have been dealt in the previous section. You can also contact our experts at StartupFino for more detailed understanding of the fee structure.

  1. Get your FSSAI licence.

You will receive the licence within 20 to 40 working days and it will be mailed to you following regular follow-ups from the food department.

FSSAI Registration Fee Payment Methods

The FSSAI accepts a variety of payment methods when paying the registration or any other costs. The registration fees can be paid with an SBI Challan or online to the SBI bank account linked to the FSSAI website. You can find their bank information on their website and send funds accordingly. There is also the option of depositing the funds in their SBI bank account and you can select the manner that is most suitable for you.

While the registration time frame remains consistent for most companies, variations in the depth of analysis, registration fees and location may occur based on the company’s size and ratio.

Penalties for failing to follow the FSSAI Guidelines

Mentioned below are the penalties that may result from failure to align with the guidelines of FSSAI:

Penalties for non-compliance with FSSAI’s guidelines include:

  • Undertaking business activities without a valid FSSAI licence can result in a jail term and a fine of up to 5 lakhs.

The FSS Act specifies the following penal provisions for punishable offences:

  • Trading non-branded food articles, either directly or through an independent third party, can lead to a penalty of up to 5 lakhs.
  • Selling low-quality food articles, either directly or through an independent third party, can result in penalties.
  • Trading, marketing, storing or importing food items with extraneous matter can result in penalties of up to 1 lakh.
  • Manufacturing or processing food items meant for masses under unsafe and unhygienic conditions can lead to a penalty of 1 lakh.
  • In severe cases where a consumer’s life is at risk due to substandard food, the fine may go up to 5 lakhs for the defaulter.

Final Thoughts

Obtaining an FSSAI licence or registration is essential for businesses operating in the food industry in India. The FSSAI fee structure varies depending on the type of licence and businesses need to submit the required documents to complete the registration process. Having an FSSAI licence brings several advantages, including improved customer retention, instilling confidence in consumers, mitigating legal issues and ensuring business growth and increased earnings. 

Failure to follow FSSAI requirements may result in penalties and fines. Businesses must prioritise food safety, establish consumer trust and contribute to the success of their food industry operations by following the regulations and acquiring the relevant licence.

For more details on the costs and fees associated with FSSAI Licence, connect with our team of experts at StartupFino.

Related Posts

startupfino

Startupfino is one and only platform in India which is exclusively formed to support startups for their financial and legal matters. Startupfino is working in the ecosystem since a decade and is well equipped to handle the complexities in a startup faced by founders.  View More…

 

LetsGoLegal Advisory Private Limited

 

Learning Section

Contact Us

Mobile:   829-829-1011
Mail:       info@startupfino.com

Head Office

22, 2nd Floor Vaishali, Pitampura, Delhi 110034 


Gurgaon Office

880, Udhyog Vihar Phase-V, Gurugram, Haryana

 

Bangalore Office

Indiqube Sigma 3B 4th Floor Wing A2,7th C Main 3rd Block Koramangala Bangalore-560034

 

Faridabad Office

59/9, Faridabad, Haryana, 121006

 

© startupfino, 2024