Company Registration
NGO Registration
Virtual business address
Startup Registration
Shop Act Registration
Annual Compliance
Income tax Filing
Trade License Registration
BIS Registration main
CDSCO Registration
Star Rating Certification
WPC Registration
Brand Registration
Legal Metrology Certification
PESO certification
Factory License Registration
Fire NOC
AERB Certification
PSARA License
Fssai License
RCMC Certification
Import Export Registration
China Food Export
RNI Certification
NSIC Registration
ISO Certification Main
US FDA
ICEGATE Registration Main
CPCB Approval
EIA Environment
CPCB/SPCB
E-Waste Management
Plastic Waste Management
Battery Waste Management
Wed, Aug 26 2026
Raju Karn
Food businesses in India are required to follow certain food safety standards and obtain the necessary licenses before conducting any business activity. These are mandated by the Food Safety and Standards Authority of India (FSSAI) under the provisions of the Food Safety and Standards Act, 2006. All Food Business Operators (FBOs) need to get the relevant license or registration depending on the nature, size, and turnover of the business.
Selecting the right type of license can be complicated for businesses that are growing, running across different states, or modifying their business models. There have been major changes in the process after 1 April 2026 with respect to turnover limits and perpetual validity of the FSSAI licenses.
This article explains the FSSAI Central License vs State License, eligibility criteria, costs, business types, etc.
An FSSAI license is a regulatory clearance that is granted to eligible food companies in India. This implies that a company is registered by the food safety body and is required to abide by food safety regulations.
Depending on the business size and activities, an FBO may require:
The appropriate category depends on factors such as annual turnover, type of food activity, production capacity, business location, and whether the operation involves interstate activities, imports, exports, or specific regulated categories.
The FSSAI's current website reports more than 25 lakh licenses and 50.1 lakh registrations, based on its Annual Report 2025–26. It also reports more than 3 lakh inspections, showing the scale of India's food safety regulatory system.
The main distinction between FSSAI Registration, State License and Central License is based on the annual turnover, nature of business and applicable FSSAI licensing criteria.
Important: Turnover is not the only factor used to determine the appropriate FSSAI license. Certain food businesses may require a Central License based on their nature of activity, location, import/export status or other specific criteria, even where turnover does not exceed the general threshold.
These revised thresholds apply to new applications made from 1 April 2026. FSSAI has also provided for migration of existing businesses through FoSCoS.
However, turnover alone does not determine the requirement in every situation. Certain business activities require a Central License regardless of turnover.
The State FSSAI License is typically valid for medium-sized food business entities within a state that qualify based on the criteria related to turnover and/or activity.
In accordance with the new scheme as of 2026, business establishments that have an annual turnover of more than ₹1.5 crore but not more than ₹50 crore will typically require the State License.
Common examples include:
The exact requirement can vary according to the business activity. For example, FSSAI's eligibility framework specifies different limits for manufacturing, storage, wholesale, distribution, retail and food service activities.
A restaurant with turnover within the State License range may therefore require a State food license, while another business with a different activity may have a different eligibility threshold.
A Central FSSAI License is intended for larger food businesses and certain activities that fall under central licensing requirements.
From 1 April 2026, businesses with annual turnover above ₹50 crore generally fall under the Central License category. However, some businesses require a Central License irrespective of turnover because of their nature or operating structure.
These can include:
For example, FSSAI's eligibility system states that importers require a Central License for importing food products, without a capacity limit. It also identifies e-commerce food businesses as Central License activities.
A business operating across multiple states may also need a Central License for its head or registered office, along with appropriate licenses for individual premises as applicable.
Understanding eligibility is more useful than looking only at the license name.
A State License may be appropriate when:
For example, under the current FoSCoS eligibility framework, restaurants with turnover above ₹1.5 crore and up to ₹50 crore generally fall within the revised State License framework. The same framework should be checked for the exact business activity before applying.
A Central License may be required when:
Therefore, a smaller business cannot always assume that a State License is sufficient. The nature of the activity must be considered alongside turnover.
The government fee also differs between Central and State licenses. The current FSSAI eligibility framework lists a Central License fee of ₹7,500 per year for many Central License categories. State License fees vary depending on the type of business and applicable category.
For example, the FSSAI fee schedule has historically specified ₹7,500 for Central Licensing Authority licenses, while State License fees can differ based on activities such as manufacturing, hotels, and food service.
Because fees and eligibility can depend on the exact Kind of Business (KoB), businesses should verify the applicable amount through FoSCoS before submitting an application.
The official process is handled through the FoSCoS platform, which provides services for registration, licensing, applications, modifications, and related compliance activities.
A typical application involves:
The applicant must select the appropriate type of business. Manufacturing, restaurant operations, wholesale, retail, storage, import, and e-commerce may have different requirements.
The turnover, production capacity, location, and business activity should be assessed against the latest FSSAI criteria.
Depending on the business category, documents can include identity and business details, proof of premises, business constitution documents, food product information, and other activity-specific documents.
The application is submitted through FoSCoS along with the applicable government fee and supporting documents.
More information may be required in some cases, or there could even be an inspection by the licensing body.
Obtaining the license is not the end of the compliance process. Food businesses must continue meeting applicable hygiene, safety, labelling, record-keeping and other regulatory requirements.
One major change introduced in 2026 is perpetual validity. The FSSAI FAQ issued in March 2026 mentions that licenses and registrations shall be valid as long as they are not suspended, cancelled or surrendered. Hence, businesses don't need to get their FSSAI license renewed regularly. However, this does not remove ongoing food safety and statutory compliance obligations.
This distinction is important. Perpetual validity does not mean that a business can ignore changes in its operations, license conditions, hygiene requirements, or other applicable obligations.
Securing compliance is only half the battle; ensuring you avoid these common licensing mistakes will save your food business both time and legal headaches.
Turnover is important, but it is not the only factor. Importers, exporters, e-commerce operators and certain multi-state businesses may need Central licensing regardless of whether their turnover is below the general Central License threshold.
Incorrectly selecting manufacturing, retail, wholesale, restaurant, or another KoB can result in an inappropriate application.
A business that begins in one state may later expand to other states, launch online sales, or begin importing products. Such changes can affect licensing requirements.
The 2026 perpetual-validity reform removes routine renewal requirements, but businesses must still comply with applicable food safety conditions.
Correct licensing helps a food business operate within the regulatory framework and reduces the risk of avoidable compliance problems. It also creates a formal regulatory identity for the business.
The importance of licensing is reflected in FSSAI's regulatory scale. As of July 2026, FoSCoS recorded more than 12.75 lakh active licenses and over 60.84 lakh active registrations, based on data updated on 8 July 2026.
For businesses, the objective should not simply be obtaining an FSSAI number. The license should accurately represent the business activity and remain aligned with its actual operations.
The answer depends on the business's current turnover, activity, location, and operating model.
A practical approach is:
The revised thresholds are effective from 1 April 2026, making it important to use current information rather than older ₹12 lakh and ₹20 crore thresholds that still appear on some websites.
The right choice of license is vital to maintaining your compliance in India's food business. However, when deciding between the FSSAI Central License vs FSSAI State License, one should not simply use the turnover as a basis. It is important to consider the activities carried out by the business, the locations, and the imports/exports, as well as other conditions under which an FSSAI license becomes eligible.
With the new limits and perpetual validity system introduced in 2026, businesses have to be careful about using the old licensing information and use current FoSCoS and FSSAI guidelines. Businesses are encouraged to investigate their FSSAI licensing and compliance services.
Not sure whether your business needs a Central FSSAI License or State FSSAI License? PSR Compliance can help you determine the correct license category, prepare documents, file the application, and manage the compliance process. FSSAI eligibility depends on your kind of food business, turnover, production capacity, location, and other applicable criteria.
Call us on: (+91) 8796104190Write to us: support@psrcompliance.com
The main difference relates to the business's scale, activity and licensing jurisdiction. From 1 April 2026, businesses above ₹1.5 crore and up to ₹50 crore generally fall under State licensing, while businesses above ₹50 crore generally require a Central License. Certain activities require Central licensing regardless of turnover.
Yes. Turnover is not the only deciding factor. There are certain situations where a Central license is applicable even when the turnover is less than ₹50 crore.
Yes. FSSAI Registration is mandatory for small food businesses. The general registration limit increased from 1 April 2026 onwards to an annual turnover of up to ₹1.5 crore.
Under the 2026 perpetual validity scheme, there is no requirement for renewal. The license continues to be subject to certain conditions and may be canceled or withdrawn.
Applications and related licensing services are handled through FoSCoS, the Food Safety Compliance System. The official FSSAI website directs businesses to FoSCoS for food license and registration applications.
Book your free consultation with our specialists today.
PSR Assistant