Indian cosmetics are growing rapidly, and the cosmetics and beauty (skincare, hair care) consumption of people is increasing. One of the key things that founders and entrepreneurs need to do in this space is to buy a cosmetic manufacturing license. This license is not simply a regulatory need; it guarantees that your products meet quality and safety standards, develops trust with clients, and permits you to lawfully manufacture, sell, and import cosmetics in India.
This post will cover everything you need to know about acquiring a cosmetic manufacturing license in India, including the requirements, costs, process, and compliance regulations.
Cosmetic Manufacturing License Overview
Section 3 (aaa) of the Drugs & Cosmetics Act, 1940, defines Cosmetic as any substance intended to be poured, rubbed, sprayed, or sprayed on/ infused into/ else daubed to the human body/ any region thereof for cleansing, beautifying, enhancing attractiveness or modifying the appearance and comprises any article meant for use as a part of Cosmetic.
Cosmetics produced in India are controlled by SLA (State Licensing Authorities) throughout all Union Territories or States of India. Under the Drugs and Cosmetics Act of 1940, Registrations and Licenses concerning the production of Cosmetics and Renewals of Cosmetic Manufacturing License have been issued by the respective State Licensing Authority.
Regulatory Authority for Cosmetic Manufacturing Permit in India
According to the Drugs & Cosmetics Act, 1940 and the Rules framed thereunder, the production of Cosmetics is controlled by a system of licensing & inspection by the State Licensing Authorities accredited by the State Governments, while the import of cosmetic items is regulated under a Registration System by the Central Licensing Authority (CLA) endorsed by the Central Government.
Kinds of Cosmetics Registration in India
There are two kinds of cosmetic registration in India: manufacturing license and importing license.
Manufacturing License
When an entity aims to manufacture cosmetics, a cosmetics manufacturing license is needed. The manufacturing license of cosmetics is legitimate for 5 years from the issuing date. The entity can apply for any of the specified manufacturing licenses for cosmetic product production and market in India:
1. License for manufacturing cosmetics for distribution or sale
The rules assume that a manufacturer can get a license to manufacture cosmetics for distribution or sale (Form 32) by submitting Form 31 (application for issue of license to manufacture cosmetics for distribution or sale) with the licensing authority approved by the state government.
A manufacturer can apply for the issue of a license to manufacture cosmetics for up to 10 products for every category of cosmetics stated in Schedule MII of the Rules. You should tender the application together with a license charge of Rs 2,500 and an inspection charge of Rs 1,000 for every inspection.
2. Loan license for manufacturing cosmetics for distribution or sale
The Rules enjoin that a manufacturer can get a loan permit for producing cosmetics for distribution or sale (Form 32-A) by tendering Form 31-A (application for issue of loan license to produce cosmetics for distribution or sale) with the licensing authority certified by the state government.
A producer can apply for the issuance of a loan license to produce cosmetics for sale for up to 10 products of every group of cosmetics cited in Schedule MII of the Rules. You should tender the application together with a license charge of Rs 2,500 and an inspection charge of Rs 1,000 for every inspection.
3. License for grant of acceptance for conducting tests on cosmetics
The Rules decree that a manufacturer can get approval to conduct examinations on cosmetics and raw materials utilized in their manufacture in favour of licensees for production for the sale of cosmetics (Form 37).
The manufacturer should tender Form 36 (application for issue of approval for conducting examinations on cosmetics utilized in the manufacture in support of licensees for production for sale of cosmetics) with the state licensing authority. You should apply together with an inspection cost of Rs 1,500 for the examination of cosmetics.
Process for Cosmetic Registration
All importers and manufacturers who aim to market cosmetic items in India need to follow the cosmetic registration process.
1. Any manufacturer who intends to manufacture cosmetics in India must possess a legitimate cosmetic manufacturing license.
2. Manufacturers must complete an application in Form COS 5 for an issue of a license and COS 6 for a loan permit to the State Licensing Authorities for the distribution and sales of cosmetic products.
3. State Licensing Authorities comprise a regulatory body managing cosmetic manufacturing licenses in India.
4. The Central Drugs Standard Control Organization (CDSCO) in India controls the grant of import licenses for cosmetic products.
5. The applicant must complete Form COS 1 to import a cosmetic item. Following registration, you should upload the required documents and pay the costs. After the assessment of the application, CDSCO will either put up a request for extra papers or grant the import registration certificate (COS 2).
6. Any company that aims to market cosmetic items in India requires cosmetic registration and acceptance. The registration process requires planning, review, and labelling of the components. Importers and manufacturers have their own application procedures. So let me explain it in detail.
Cosmetic Manufacturing License in India
State Licensing Authorities manage and regulate cosmetic manufacturing licenses in India. It makes sure that cosmetics manufacturers consider the wants of its client products before they get to the market.
There are the specified licenses needed for cosmetic product production & market in India as per the D&C Act of 1940:
- The permit in Form COS 8 allows the manufacturing of cosmetics for distribution or sale. The application is tendered in Form COS 5 for this.
- A permit in Form COS 9 is granted for a loan permit to manufacture cosmetics for distribution or sale. The application is tendered in Form COS 6 for this.
- A permit on Form COS 23 is granted for renewal or grant of approval for conducting tests on cosmetics or raw materials utilized in their production in support of licenses for the production and sale of cosmetics. For this, the application files are in Form COS 22.
How to Apply for a Cosmetic Manufacturing License?
The applicant should pursue the specified steps:
- File the COS 5 or COS 6 application through the online SLA portal.
- Examine all the proffered documents according to the checklist stated.
- After the documents are tendered, SLA will verify the application.
- They acknowledge the grant or loan permit in Form COS 8 or 9 for manufacturing cosmetics in India.
- You should share the online application form with the respective appointed officer to grant the license. After the permit application form is dispatched to the appointed officer, the appointed officer will review and authenticate the documents and form.
- If the application form is discovered to be adequate, it will be transmitted for acknowledgement by the licensing authority. After the licensing authority acknowledges the Form, the acceptance letter will be present in the applicants’ SUGAM dashboard.
Timeline and Cost of Obtaining a Cosmetic License
- The timeline to get the license issued is 45 days from the date of application.
- A levy of Rs. 10,000 is charged for the issue of a License in Form COS-8 for manufacturing cosmetics for the distribution and sale of 10 items in each group of cosmetics. Every item in the cosmetic group is going to cost you an extra 500rs.
Wrapping Up
If you are looking to grow the cosmetics business in India, a cosmetic manufacturing license is compulsory for any Indian business. Many businesses will lawfully process keeping them compliant and ensure the quality and safety of their products, which makes it a solid way to bring new consumer and success into their business domestically and globally.
Kanakkupillai is a one-stop solution for all your compliance requirements. Our Experts will aid you in obtaining a cosmetic license certificate for your item, offering beneficial insight and suggestions at every stage of the process needed for cosmetic registration.
