FSSAI License Requirement for E-commerce Business

As per Schedule 1 of the Food Safety and Standards (Licensing and Registration of Food Business) Amendment Regulations, 2018 defines e-commerce as the buying and selling of goods and services over a digital network. It also provides the definition of “E-Commerce FBO” as any FBO carrying out any of the activities in accordance with Section 3(n) of the Food Safety and Standards Act, 2006 through e-commerce.

E-commerce Businesses are required to obtain a license from the Central Licensing Authority as per FSS regulations. It also includes e-commerce entities that provide listing/directory of FBO/food products and which facilitate orders on their website to obtain FSSAI licenses from the Central Licensing Authority.

Yet the Regulations provide for certain categories of e-commerce entities that may not require a license under the Act. This includes e-commerce entities providing listing/directory of FBO/food products which are not covered under the definition of food business under the Act.

Eligibility for E-Commerce Businesses to apply for License:

• Basis to apply for a license: No specified limit on Capacity or Turnover of business
• Type of License/Registration required: E-commerce businesses are required to apply for a Central License.
• Fees to be paid Per Annum: E-commerce business is required to pay fees of Rs. 7500 per annum.

E-Commerce FBO obligations:

• It is mandatory to display the License/Registration obtained under the Act on an e-commerce platform by sellers/ brand owners/ manufacturers.
• It is mandatory for the seller’s/ brand owners/ manufacturers to provide prepacked food on their website must ensure that pre-packed food is displayed with a clear picture of the "principal display panel".
• The food product must have a shelf life of 30% or 45 days before expiry at the time of delivery of such product by E-commerce FBOs.
• FBOs providing fresh produce must display indicative images of such products on the e-commerce platform.
• Mandatory information about food articles (as per FSS Act) must be provided to the consumer without charging extra cost. Also, the information must be provided before the purchase of such a product. 
• Proper safety of food products must be ensured at the time of delivery.
• The information regarding food articles must be true and not misleading on the e-commerce platform.
• All e-commerce FBOs are required to enter into an agreement with such Sellers/ Manufacturers/ vendor/ brand owners averring that such Sellers/ Manufacturers/ vendors/ brand owners have compiled/complied with the FSSAI Regulations.

Apart from the above-mentioned obligations, there are a few other criteria mentioned in FSS Regulations that FBOs working through e-commerce platforms must follow at all times.

Essential Documents for obtaining FSSAI License for E-Commerce Business:

• Photo ID
• Food Safety Management Plan
• Documents proving the possession of premises
• Partnership Deed or Certificate of Incorporation
• List of food articles.

In accordance with the Food Safety and Standards Act, 2006, operating a food business without a license is a punishable offense. Such FBOs operating without a license shall be punished with imprisonment which may extend to six months and a fine which may extend to five lakh rupees.