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When does a food business need an FSSAI licence?

By Akshay Biwal Updated

A food business needs an FSSAI registration or licence before it manufactures, stores, distributes, sells, or imports food. From 1 April 2026, annual turnover up to ₹1.5 crore takes a registration. Turnover above that takes a state licence or a central licence.

What is FSSAI?

The Food Safety and Standards Authority of India is the body established under the Food Safety and Standards Act, 2006. It sits with the Ministry of Health and Family Welfare. It lays down standards for food and regulates the manufacture, storage, distribution, sale, and import of food. A company that never handles food does not need this permission.

Which permission applies?

Business Permission
Annual turnover up to ₹1.5 crore Registration
Turnover above ₹1.5 crore and up to ₹50 crore State licence
Turnover above ₹50 crore Central licence

These bands apply to an application made on or after 1 April 2026. The older bands, of ₹12 lakh and ₹20 crore, do not decide a new application. A kind of business that the schedule still classifies by production capacity uses that capacity test as well. The application is made on FoSCoS. A registration or licence issued under the 2026 amendment stays valid unless it is suspended, cancelled, or surrendered. The business displays it at the premises during business hours. The application carries the government fee.

Does company registration replace it?

No. Incorporating a company, on the private limited company page, does not license the food. Goods and services tax is a separate registration, on the GST registration page, and its turnover threshold is not the food band. A food business can need all three.

What if the business has none?

Section 63 punishes a person who is required to obtain a licence and who manufactures, sells, stores, distributes, or imports food without that licence. The punishment is imprisonment for a term which may extend to six months and a fine which may extend to ₹5 lakh. A business that needs only a registration is outside that section, and it still cannot operate without the registration. Sub-standard, misbranded, or unsafe food is dealt with in other sections, and those sections set their own penalties. A designated officer can issue an improvement notice. The Food Authority can order a recall of food that is unsafe. The Act does not treat a missing licence as a one-week formality.

Frequently asked questions

Four questions cover the ₹1.5 crore band, incorporation, the waiting time, and section 63.

Is turnover up to ₹1.5 crore a licence?

No. From 1 April 2026 that turnover takes a registration. A state licence starts above ₹1.5 crore, and a central licence starts above ₹50 crore.

Does incorporation include the food licence?

No. A company that makes or sells food still applies on FoSCoS. GST registration is a third, separate threshold.

Is the application decided in a week?

The regulations do not promise a decision in seven days. The business displays the certificate or the licence at the premises once it is issued.

What is the penalty for operating without a licence?

Section 63 applies where a licence was required. The punishment is imprisonment for a term which may extend to six months and a fine which may extend to ₹5 lakh. A registration-only business is outside that section. Unsafe or misbranded food uses the other sections of the Act.

Sources

The Food Safety and Standards Act, 2006, sets up the Food Safety and Standards Authority of India. The turnover bands in force for an application made on or after 1 April 2026 are the bands the Food Authority set under the 2026 amendment of the licensing regulations. The application is on FoSCoS.

  1. Food Safety and Standards Authority of India
  2. FoSCoS