It is the government’s responsibility to ensure food safety in India through the FSSAI (Food Safety and Standards Authority of India). For setting standards and regulations, the organization is a vital resource for food business operators throughout India. Those who manufacture food, transport and package food, retail, wholesale, hotel, and tea shop owners, and fast food operators are considered food service operators. A license and registration with the FSSAI are mandatory for such FBOs, or they will be penalized. A variety of factors determine the type of license an FBO obtains.
The differences between a state license and a central license issued by the FSSAI
Registration and licensing of various FBOs are handled by the rnFSSAI. The tuover will determine the amount
FSSAI licenses vary based on the type of business and its size. Basically, an FBO has three license options:
- FSSAI Basic Registration
- FSSAI State License
- FSSAI Central License
Those operating at small scales, such as manufacturers and vendors, must obtain a basic registration from the state government. State licenses and central licenses are the two main types of fssai licenses issued by the FSSAI. license is issued, they are valid for a minimum period of 1 year to a maximum of 5 years.
FSSAI State License:
This license is required by medium-sized FBOs such as manufacturers, individuals, or organizations that are involved in storage, those in the retail business, transporters, distributors, and those handling the marketing of food-related items. Businesses of this kind are mandated to be operative at the state level only. Further, the turnover of these FBOs lies between 12 lakhs to 20 crores. These businesses should acquire a state license before commencing their operation. The validity of the license extends from a minimum of 1 year to a maximum of 5 years.
FSSAI Central License:
FBOs with a yearly revenue of more than 20 crores are eligible for the central licence. This licence is necessary for business owners who deal with proprietary food firms, exporters, operators in airports and central government offices, and others. Businesses that operate in multiple states are required to choose a central licence. In essence, they must apply for the licence in the state where the head office is located and submit the necessary paperwork. The granted licence is good for a minimum of one year and a maximum of five years, after which it must be renewed on a regular basis.
Differences Between State and Central License:
The location of the firm, the total annual revenue of the businesses, and the type of business activity conducted are the key distinctions between a state and a central licence. A state licence is given to companies with an annual turnover of between Rs. 12 lakh and Rs. 20 crores that only operate inside that state, as opposed to a central licence, which is granted to companies with a turnover of more than Rs. 20 crores and those that operate in numerous states.
Modification of the FSSAI License:
If FBOs start doing business in other states or if their yearly revenue reaches Rs. 12 lakhs, they can choose to modify their licence, going from a state to a central licence (or vice versa). The procedure is known as a licence modification. The Food Safety and Standards Act of 2006, which is overseen by the FSSAI’s authorities, governs the procedure.
However, the following has to be kept in mind:
- Only FBOs who currently have active licences are able to modify an existing licence. The FBO may reapply three months after the application was cancelled or denied.
- When there is a change in ownership, a modification of the FSSAI license has to be applied.
The following categories are eligible to apply for a modification of license:
- Registered FBOs already owning an FSSAI license
- Food manufacturers and producers
- Various food processing units
- Repackers and re-labelers