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FSSAI registration vs licence: which does your food business need?

Basic registration, state licence or central licence? How turnover and scale decide your FSSAI tier.

FSSAI registration vs licence: which does your food business need? — FilingSetu blog guide

Every food business needs FSSAI, the tier depends on your size.

Any business that makes, stores, transports or sells food needs an FSSAI authorisation — but there are three tiers, and using the wrong one is a compliance risk. Which you need comes down to turnover and scale. This guide sets out the three tiers, the turnover bands, the documents, and why the wrong tier can mean penalties and seizure.

Key takeaways
  • Every food business needs FSSAI — the tier depends on turnover and scale.
  • Basic registration: up to Rs 12 lakh turnover.
  • State licence: Rs 12 lakh to Rs 20 crore; Central licence: above Rs 20 crore, importers, multi-state.
  • The 14-digit FSSAI number must be displayed on packaging and premises.

The three FSSAI tiers

TierTurnoverTypical business
Basic registrationUp to Rs 12 lakhHome kitchens, small stalls
State licenceRs 12 lakh – Rs 20 croreRestaurants, mid-size manufacturers
Central licenceAbove Rs 20 croreLarge units, importers, multi-state

The tiers in detail

  • Basic registration: small operators with turnover up to Rs 12 lakh.
  • State licence: mid-sized businesses, turnover between Rs 12 lakh and Rs 20 crore.
  • Central licence: large operators above Rs 20 crore, importers and multi-state businesses (which need central plus state licences per location).
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The 14-digit number goes on your packaging
Your FSSAI number must be displayed on packaging and premises. Operating without the correct tier — or an expired licence — can mean penalties, product seizure and de-listing from delivery platforms.

“Every food business needs FSSAI. Turnover, not the type of food, decides which of the three tiers applies to you.”

Frequently asked questions

How long is an FSSAI licence valid?

You can obtain it for 1 to 5 years. Renew before expiry — lapsing can halt operations and platform listings.

What if my turnover grows past a tier?

You upgrade to the higher tier. Continuing on a lower tier once you cross the band is a compliance breach.

Do home-based and online food sellers need FSSAI?

Yes. See our guide on FSSAI for cloud kitchens and home food sellers.

Running a cloud kitchen or selling food online? See our FSSAI for online food guide. Our FSSAI registration service assesses your tier and files it. Explore all registration services.

ET
Editorial Team
FilingSetu Editorial

The FilingSetu Editorial Team is a group of Experts and compliance specialists who simplify GST, income tax and company law into plain-English guides for Indian businesses.

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