The Food Safety and Standards Authority of India (FSSAI) has issued a new order revising the turnover thresholds for food business licensing under the Food Safety and Standards (Licensing and Registration of Food Businesses) Regulations, 2011.
The revised framework will come into effect from 1 April 2026 and aims to simplify regulatory compliance for Food Business Operators (FBOs) while improving the categorization of businesses based on their annual turnover.
The decision follows recommendations made by NITI Aayog’s High-Level Committee on Non-Financial Regulatory Reforms and has been approved by the Ministry of Health and Family Welfare.
Revised Turnover Thresholds for Food Businesses
Under the new order issued by FSSAI, food businesses will now fall into the following categories based on annual turnover:
| License Type | Turnover Criteria |
|---|---|
| FSSAI Registration | Businesses with turnover up to ₹1.5 crore |
| State License | Businesses with turnover above ₹1.5 crore and up to ₹50 crore |
| Central License | Businesses with turnover above ₹50 crore |
These revised limits replace the earlier turnover-based classification used for licensing food businesses across India.
Why FSSAI Introduced the Revision
The updated thresholds are intended to make the licensing framework more practical and business-friendly. According to the regulatory order, the revision will help:
- Simplify compliance requirements for smaller food businesses
- Improve clarity in the categorization of Food Business Operators
- Reduce regulatory overlap and administrative burden
- Support ease of doing business in the food sector
The amendment was notified through the Food Safety and Standards (Licensing and Registration of Food Businesses) Amendment Regulations, 2026.
What Food Businesses Need to Do
Food manufacturers, distributors, importers, retailers, and other Food Business Operators should review their current FSSAI license or registration status and verify whether it aligns with the newly revised turnover thresholds.
Businesses that fall into a different category under the updated limits may need to upgrade or modify their license to remain compliant once the new rules take effect.
Effective Date
The revised turnover thresholds will officially come into force on 1 April 2026, superseding all earlier orders related to turnover-based licensing criteria under the 2011 regulations.
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