In the fast-growing food industry in India, maintaining food safety and hygiene is not just a best practice; it is a legal necessity. Every food business operator (FBO), whether a home-based kitchen, street vendor, restaurant, manufacturer, or online food aggregator, must register with the Food Safety and Standards Authority of India (FSSAI) under the Food Safety and Standards Act, 2006. The FSSAI license certifies that the food being handled, processed, stored, or sold meets the required standards of safety and hygiene. However, the FSSAI does not offer a one-size-fits-all license. It categorizes licenses based on the nature, scale, and annual turnover of the business. There are three primary categories: Basic FSSAI Registration, State License, and Central License, which are applicable to different types of food businesses ranging from small vendors to multi-state enterprises and exporters. Selecting the correct license is essential to avoid legal complications, delays, or penalties.
This blog offers an in-depth look at the FSSAI food license categories, which helps you determine which license is applicable to your business, based on your turnover, operations, and geographical presence.
What is the FSSAI?
The Food Safety and Standards Authority of India (FSSAI) is the regulatory authority responsible for protecting and promoting public health by regulating and supervising food safety. It operates under the Ministry of Health and Family Welfare, Government of India.
What is the FSSAI License?
The Food Safety and Standards Authority of India (FSSAI) License is a mandatory certification that ensures food businesses meet the required food safety standards. FSSAI issues the license and serves as your “passport” to legally operate a food business in India.
Why is the FSSAI License Important?
An FSSAI license is not just a legal formality; it adds credibility and trust to your food business. The license serves the following purpose:
- Regulatory Compliance: An FSSAI license is mandatory for all food businesses in India. Operating your business without a valid license violates the law and imposes penalties on the business.
- Food Safety Guarantee: When a food business obtains an FSSAI license, it agrees to the strict safety and hygiene protocols at every stage of food production. The license helps in ensuring that the business is committed to high safety standards and minimizes the risk of contamination and adulteration.
- Building Consumer Trust: Displaying an FSSAI license on your premises or food packaging acts as a visible assurance to the consumers and enhances the credibility of your brand. The license serves as a competitive edge, as consumers are more inclined to choose products from a certified brand.
- Improve Operational Standards: An FSSAI license naturally encourages businesses to monitor and improve their operational practices continually. From regular internal audits to periodic inspections conducted by regulatory authorities, there is a built-in system that drives quality enhancements within the operations.
Types of FSSAI Licenses
FSSAI issues different types of licenses based on the size, type, and turnover of your food business
| License Type | Annual Turnover Limit | Applicable for |
| FSSAI Basic Registration | Up to ₹12 lakh | Small-scale food business operators, including local vendors, home-based food producers, and hawkers. |
| FSSAI State License | Between ₹12 lakh and ₹20 crore | Medium-sized food businesses such as restaurants, small manufacturers, and local food processors. |
| FSSAI Central License | Above ₹20 crore | Large-scale food business operators, including those with multi-state operations, importers, or exporters. |
1. FSSAI Basic Registration
This category is meant for small-scale food businesses or startups with a limited annual turnover of up to ₹12 lakhs. It is ideal for:
- Petty food manufacturers
- Small retailers
- Dhaba owners
- Cottage industries
- Small-scale food processors
- Homemade food sellers or tiffin services
- Street food vendors
Conditions
- Should operate within a single state.
- Cannot engage in large-scale food manufacturing or distribution.
- Should not own an extensive processing or packaging unit.
2. FSSAI State License
Businesses that have a turnover between ₹12 lakhs and ₹20 crores annually and operate within a single state fall under this category. This includes:
- Medium-sized food manufacturers or processors
- Storage units and cold storage facilities
- Distributors and suppliers
- Mid-sized food chains
- Restaurants and food caterers
- Transporters and warehouses
Types of FBOs Under State License
- Dairy units producing up to 50000 liters of milk per day
- Meat processing units up to 500 kg per day
- Mid-sized food packaging or labelling businesses
- Mid-level food traders and retailers
3. FSSAI Central License
This is the highest category of FSSAI license, mandatory for large-scale businesses or those engaged in food import/export, interstate operations, or supplying to government agencies. It applies to:
- Food businesses with a turnover above ₹20 crores annually.
- Importers and exporters of food products.
- Large-scale manufacturers or processors.
- Operators in multiple states.
- Businesses dealing with food additives or novel foods.
- E-commerce food platforms (Zomato, Amazon, BigBasket, etc.).
- Government agency suppliers.
Specific FBOs Under Central License
- Dairy units with over 50000 litres of milk per day.
- Meat processors with a capacity above 500 kg/day.
- Large cold storage or refrigerated transporters.
- Exporters, importers, and port-based food handlers.
- Large hotels (3-star and above), food canteens, and airline caterers.
| License Type | Documents Required |
| Basic Registration |
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| State License |
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| Central License |
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How to Choose the Right FSSAI Category?
When applying for an FSSAI license, consider the following:
- Annual turnover of the business
- Type and scale of food operations
- Geographical reach (within a state vs interstate)
- Type of food handled (perishable, meat, dairy, etc.)
- Whether you are involved in import/export
Getting the wrong category of license can delay approvals, attract penalties, or render your license invalid. It is always advisable to consult a professional or a legal expert in case of confusion.
Penalties for Non-Compliance
Failure to register or obtain the correct FSSAI license may result in strict penalties:
- Unlicensed operations: Fine up to ₹ five lakhs, and/or imprisonment for 6 months, and closure of the business.
- Misleading labelling: Fine up to ₹3 lakhs.
- Unhygienic practices: Fine up to ₹1 lakh.
- Selling unsafe food: Up to life imprisonment and fines, depending on severity.
Conclusion
The FSSAI food license category list serves as the backbone for regulating and monitoring food businesses across India. Whether you are just starting as a home chef or running a large-scale food processing unit, your business must be registered under the correct FSSAI license category. Understanding the category that your business falls under not only ensures compliance but also builds consumer confidence in your brand. With increased consumer awareness and legal scrutiny, having a valid FSSAI license is more important than ever.
