FSSAI License Renewal: Procedure, Fees & Benefits

An FSSAI license is an important document that an FBO (Food Business Operator) needs in order to start a food business in India. It guarantees that the food served to the customers is safe and complies with legal standards. Food business operators must obtain this license before they start their business. This license will help FBOs adhere to all prescribed regulations. In this article, we will learn in detail about FSSAI license renewal.

What is an FSSAI License?

FSSAI stands for Food Safety and Standard Authority in India. An FSSAI license is a crucial permit for all food businesses in India. This license ensures that the FBOs follow the safety and quality standards set by the department. The license certifies that the food meets the prescribed safety standards. It also helps in regulating hygiene practices across the industry.

The FSSAI license is categorized into different categories based on the business size and turnover. Without this license, FBOs can face legal consequences, fines or shutdowns. It is important for FBOs to have an FSSAI license to gain consumer trust and operate their business smoothly.

Who Needs To Renew Their FSSAI license?

In a word, every food business operator needs to renew the FSSAI license. Below is a list of food businesses that require an FSSAI license.

• Dairy Facilities with a sale of over 50,000 liters of liquid milk each day or 2,500 MT of milk annually
• Plants that process or produce vegetable oil and have an installed capacity of more than 2MT per day
• Slaughterhouse that sells a minimum of 1000 poultry birds, 150 small animals and 50 large animals per day
• Meat processing facilities that can handle or process 150 MT of meat annually or more than 500 kg of meat per day
• Food processing facility with an installed capacity greater than 2MT/day except milling units for grains, cereals and pulses.
• Units with a 100% export focus
• All importers of food products. It also includes additives and substances that are used in commercial settings
• All food industry operators who produce, prepare or import any proprietary food for whom the FSSAI has granted a NOC.
• The head office or registered office of FBOs that operate in multiple states
• Food catering services of the central government agencies. It includes the defense, railroad, airport and seaport departments.
• Hotels that are accredited as five stars or higher

Who Needs To Renew Their FSSAI license?

In a word, every food business operator needs to renew the FSSAI license. Below is a list of food businesses that require an FSSAI license.

• Dairy Facilities with a sale of over 50,000 liters of liquid milk each day or 2,500 MT of milk annually
• Plants that process or produce vegetable oil and have an installed capacity of more than 2MT per day
• Slaughterhouse that sells a minimum of 1000 poultry birds, 150 small animals and 50 large animals per day
• Meat processing facilities that can handle or process 150 MT of meat annually or more than 500 kg of meat per day
• Food processing facility with an installed capacity greater than 2MT/day except milling units for grains, cereals and pulses.
• Units with a 100% export focus
• All importers of food products. It also includes additives and substances that are used in commercial settings
• All food industry operators who produce, prepare or import any proprietary food for whom the FSSAI has granted a NOC.
• The head office or registered office of FBOs that operate in multiple states
• Food catering services of the central government agencies. It includes the defense, railroad, airport and seaport departments.
• Hotels that are accredited as five stars or higher

Types of FSSAI License/Registration

FSSAI license is categorized into two different categories: Central FSSAI licenses and State FSSAI licenses. The owner can apply for either the state or the central license. The choice of license depends on the turnover of the business. FSSAI basic registries also needs to renew. Listed below are the two types of licenses:

• FSSAI Registration:

The FBOs having the yearly turnover less than 12 lakhs need FSSAI basic registration.

• FSSAI State License

Medium-level businesses are the ones whose turnover exceeds 12 lakhs but is less than 20 lakhs. Manufacturers, traders, marketers or transporters that operate their food-related business at the medium level fall under the category of state FSSAI license. The government of the respective states approves the state FSSAI license.

• FSSAI Central License

Large-scale enterprises are the one that has an annual turnover of more than 12 lakhs. These businesses should fill out the form for a central FSSAI license. Other than that, FBOs involved in food procession, transportation, manufacturing and international trade should also apply for a Central FSSAI license.

Fees Structure

Below is the detailed fee structure of different FSSAI license renewals:

Procedure to Renew FSSAI License/Registration

An applicant can renew their application with 2 different methods. Listed below are the steps of both the methods, following which an FBO needs to follow to renew their FSSAI license

METHOD 1

Step 1: Visit the FSSAI Portal

In order to renew the certificate, the applicant, that is, the FBO, needs to visit the official website of FSSAI. After that, they need to log into the portal with their registered username and password. Now, the applicant needs to navigate to the “renewal section” and choose the option “apply for renewal of license/registration”.

The license eligible list will appear. The applicant needs to click on the “proceed” option for the particular license. While they are filing the renewal application, the applicant should keep in mind that only license within 120 days before expiration will be listed. If the license has expired, the applicant must apply for a new license rather than renew the old one.

Step 2: Verify the eligibility of renewal

Before the applicant proceeds with the renewal process, they need to verify whether they are eligible for renewal. The portal will display those licenses that are eligible for renewal. If the license of an FBO is not listed, it means that either it is too early or has already expired. In such scenarios, the FBO must contact the FSSAI helpdesk for clarification.

Step 3: Fill out the renewal application

Once the applicant has confirmed their eligibility, they need to fill in the renewal form. While filling in the form, the applicant must remember that fields like premises details and product sections are non-editable. On the other hand, applicants can update fields like communication details. Before submission, the applicant must review the application carefully, as incorrect details can lead to the rejection or delay of the application.

Step 4: Upload the necessary documents

According to the type of license, the applicant needs to upload the required documents. The applicant should ensure that their documents are in the correct format and updated. If the applicant submits incomplete or incorrect documents, their application might get rejected.

Step 5: Verifying and reviewing the application

The applicant should verify all the information on the application. They should also cross-check the documents and ensure that they are in the correct format. Any mistakes at this stage can lead to delay. The applicant should also ensure that all the required fields are filled correctly.

Step 6: Make the Renewal Payment

After verification and submission, the applicant needs to pay the fees for renewal. The renewal fee depends on the number of years the applicant has selected. However, the applicant should remember that if they apply for the renewal 90 days before expiration, they have to pay only the renewal charges. In case the licenses cross the period of 90 days, a fine of Rs. 100/day will be charged along with the renewal fees. The applicant can easily make the payment through online methods like net banking, debit or credit cards or UPI.

Step 7: Generate the Reference Number

Once the applicant makes the payment, they will get a receipt. The receipt will also contain a reference number of 17-digits. One should save the number, as it helps to keep track of the application status.

Step 8: Wait for Approval

 Post-submission, FSSAI officials will conduct a thorough check of the application. If there is any issue with the documents, the authorities will allow the applicants to clarify themselves. One can easily track their application using the 17-digit number they generated.

Step 9: Issuance of the Renewal Certificate

If all the documents are correct and complete, the FSSAI authorities will approve the application. Soon, the applicant will be able to download the application from the FSSAI portal.

METHOD 2

Step 1: Renewal through Homepage

Similar to the previous method, the applicant needs to visit the FSSAI portal. Click on the option labelled as “Renewal of License and registration fee: same as new Lic/Reg”. This section is specifically designed for businesses looking to renew their FSSAI license without logging into their account. The applicant should ensure that their license is within the renewal window so that they can process smoothly.

Step 2: Fill in the License Details

Now, the applicant needs to fill in the required details in the designated field. They must fill in their License number, validity, end date, and captcha code. The applicant should cross-check the information before they submit the application. However, if the applicant enters any incorrect details, the system will not allow them to process further.

Step 3: Confirm and Proceed

Once the applicant has submitted all the details, the system will thoroughly verify the information. It will also display the renewal eligibility status. The application needs to click on proceed in order to continue with the renewal process. However, if the FBO’s license is not eligible, there is a need to check the expiry date or apply for a new license instead.

Step 4: Fill Out the Form

After the applicant clicks on proceed, the renewal application form that is Form B will open up. The applicant needs to fill in their details in this form. Once they have filed the information, the applicant needs to upload the required documents.

The applicant should ensure that their documents are in the correct format. Missing or incorrect files can lead to the rejection of the application. The applicant also needs to select the number of years for which the license is renewed. After that, the applicant needs to choose a preferred payment method.

Step 5: Complete the Payment

Once the applicant has filled in the necessary information, they need to proceed with the payment. The renewal fees depend on the number of years selected for renewal. The applicant should remember that if they apply for the renewal 90 days prior to expiration, they have to pay only the renewal charges. In case the licenses cross the period of 90 days, a fine of Rs. 100/day will be charged along with the renewal fees.

Step 6: Generate the Reference Number

Once the applicant completes the payment, they will receive a receipt that will have a 17-digit reference number. The applicant needs to save this number for future reference. The applicant can track the status of their application with the reference number.

Step 7: Track the Application Status

Once the form is submitted, the FSSAI officials will conduct a thorough check of the application. If the authorities ask for any additional information, the applicant will get a message requesting additional documents.  After the application is approved, the applicant will be able to download the application directly from the portal.

Documents required for FSSAI license Renewal:

The documents for renewing your FSSAI license depends on the type of your business. The document list is not limited. If there are any other documents that an FBO needs, Online Legal India is the best platform to help them with the additional documents. However, listed below are the documents required for a basic FSSAI license:

• A passport-sized picture of the applicant. This will serve as a proof of identity, such as a voter ID card or Aadhaar Card.
• Scanned copy of the PAN card as identification proof.
• Documents to verify the address, such as telephone bill, mobile bill, electricity bill or gas bill
• Copy of the rental agreement(if any)
• No Objection Certificate(NOC)

Documents Required to Renew a Central or State FSSAI License:

Along with the signed form B, the applicant needs to upload the following documents in order to renew their Central or State FSSAI license.

• Passport-sized picture of the applicant, partner, director(s) or authorized signatory
• Proof of residence of the applicant, partner, director(s) or authorized signatory
• A list of directors, along with their identity proof
• A layout or blueprint of the food processing unit
• A list of food categories if the business is engaged in manufacturing
• Details of the equipment used. The document should also include the name of the equipment, quantity, installed capacity and horsepower.
• Scanned copy of the Memorandum of Association(MoA) and Articles of Association (AoA) or a partnership deed
• A letter of authorization from the manufacturer. The letter must include a designated individual to act on their behalf.
• Proof of ownership. This will include electricity bill or sale deed

Additional Documents

Other than the documents listed above, the applicant needs to include the below-mentioned documents:

• 100% Export-Oriented Units(EOUs) should include certificates from Ministry of Commerce
• Scanned copy of the IEC, which is the Import-Export Code.

Penalty Structure for Late Renewal:

Listed below are the penalties that an FBO needs to pay due to late renewal:

• Within 90 days after expiry: In case the FBO renews their license within 90 days after expiry, they need to pay three times the annual license fees as a penalty
• Between the 91^st and 180^th Day after expiry: When an FBO renews their license after the 90^th day that is between the 91^st to 180^th day after expiry, they need to pay five times the annual registration fee.
• After 180 days: If the FBO fails to renew their license after the 180^th day after expiry, the FBO need to apply for a fresh license. This process involves a new application, verification and approval process.

Benefits of Renewing an FSSAI License

Listed below are the benefits that an FBO will have if they renew their FSSAI license on time:

• Uninterrupted Business Operations

When an FBO renews their license, it can easily prevent disruption in the business activities. If the FSSAI license of the FBO expires, the FSSAI officials will halt the operations. This, in turn, leads to financial loss as well as causing a setback in the operations. With a valid license, FBO can continue their businesses legally without any interruption in the supply chain.

• Better Business Reputation And Market Trust

When an FBO holds a renewed FSSAI license, they increase the reputation of their brand in the market. With an FSSAI license, customers get an assurance that the food they are consuming is safe and quality approved. Other than that, the investors as well as the business partners can also be assured that the company follows strict safety and hygiene standards. This, in turn, increases trust and improves a brand's credibility. It also helps FBOs attract more business opportunities.

• Compliance with Food Safety Regulations

The laws and standards related to food safety get updated frequently. Renewal allows businesses to stay compliant with the latest FSSAI guidelines. It also ensures that the food produced or sold is safe and meets the quality benchmark. This, in turn, helps the FBO avoid regulatory violations

• Business Expansion and Financial Support

FBOs must have a valid FSSAI license to obtain loans for their business, government subsidies, and financial grants. Many banks and investors made FSSAI license a mandatory requirement to approve their funds. With an FSSAI license, businesses can easily expand into new markets. This also includes retail chains and export businesses as online platforms.

• Seamless Collaboration with Suppliers and Distributors

Before entering into agreements, suppliers, distributors, and retailers require businesses to have a valid FSSAI license. If the license of an FBO expires, it affects the overall supply chain. This, in turn, results in a delay in the distribution process. It also causes a loss of business opportunities.

• Avoid Heft Penalties and Legal Action

If a business fails to renew its FSSAI license on time, they are subject to a daily penalty of Rs 100. The maximum penalty can be five times the annual license fee. In extreme cases, the businesses may face legal actions, suspension or cancellation of the license. In order to eliminate these risks, FBO should ensure the timely renewal of the FSSAI license.  With timely renewal, FBO can also ensure smooth regulatory compliance.

Consequences of not Renewing an FSSAI license:

Listed below are a few of the consequences that an FBO might face if it fails to renew its FSSAI license:

• Fine and Legal Penalties

If an FBO fails to renew their FSSAI license before its expiry, its business will be considered illegal immediately. The Food Safety and Standard Authority of India(FSSAI). The Food Safety and Standards Authority of India (FSSAI) imposes a penalty of ?100 per day from the day the license expires until the renewal application is submitted.

If the FBPO delays their renewal, the authorities can impose additional fines. Gradually, the fines might become financially burdensome for the FBOs. In extreme cases, repeated non-compliance can lead to legal action, which might affect the business's reputation and long-term sustainability.

• Business Operations Halted

When an FBO holds an expired FSSAI license, it becomes illegal for them to manufacture, distribute or sell food products. During inspection, if the authorities find an expired license, they will immediately issue a notice to stop the operations. This can disrupt the supply chain, which will result in losses due to unsold stock and financial instability. It can also cause the perishable goods to spoil.

Other than that, the FBO will not be able to operate their businesses legally. This, in turn, may result in delays in fulfilling customer orders. It also affects overall business performance.

• Loss of Customer Trust and Business Reputation

Customers gain assurance about the safety and quality of food when they see an FSSAI license. When an FBO fails to renew its license, customers take it as a sign of negligence and lack of compliance with food safety standards. This, in turn, can lead to loss of customer loyalty, drop in sales and negative reputation of the business. Other than that, when the regulatory authorities make the violation public, it can cause severe damage to the brand’s image. It will become difficult for the brand to restore its image.

• Business Closure and Legal Actions

When an FBO continues their operation without renewing its FSSAI license for a prolonged period, the regulatory authorities may take strict legal action. The consequences may include temporary suspension of operations, large amount of fines and more. It can even lead to the permanent closure of the food business.

Other than that, if the FBO applies for a new license after expiry, the process becomes more complicated and time-consuming. It may also cause a delay in reopening the business. In extreme cases, if the FBO does not comply with the rules and laws, they might face a lawsuit. This, in turn, can further increase their legal expenses, as well as the risk to the business owners.

Hassle-Free FSSAI Renewal with Online Legal India

Hence, FBO needs to renew their FSSAI license to operate its food business legally. With an FSSAI license, FBO will comply with the food safety regulations. A smooth renewal process ensures that the operations of the FBOs are uninterrupted. It also helps them avoid penalties or legal issues. If the application has any errors, missing documents, or delays in submission, the FBO might face complications, which can further lead to fines or even the cancellation of the license. However, if the FBOs take expert guidance, they can easily avoid these challenges. This also ensures a faster and error-free renewal of the license.

Therefore, it is important for FBOs to choose the right platform to renew their FSSAI license. Online Legal India is one of the most trusted platforms. They offer expert assistance, end-to-end support and real-time updates. FBOs can get help from Online Legal India if they follow three quick and simple steps:

Step 1: Visit the official website of Online Legal India

Step 2: Navigate to the “License” option and click on FSSAI renewal.

Step 3: Fill in the necessary details, and soon you will get a call back from their expert professional, and they will help you about your renewal process.