FSSAI Makes Closure Report of Food Safety Licences Mandatory for FBOs

The Food Safety and Standards Authority of India (FSSAI) has mandated food business operators (FBO) to submit closure reports upon expiry of their license, according to a notice issued by the national food safety regulator.

"All Food Business Operators (FBOs) whose FSSAI license/registration has expired during FY 2024-25 are hereby directed to mandatory submit a closure report," stated the notice, which was titled "Mandatory submission of Closure Report on expiry of FSSAI license/registration." 

FBOs must attest that no business operations are carried out on the property and give justification for not renewing their license in the comprehensive closure report. The May 16 notice also instructed FBOs to submit applications for license or registration renewals well in advance of the expiration date.

The food business must verify if a new license or registration has been obtained, or else this report must attest that no commercial activity is being carried out at the relevant premises using the expired FSSAI.

A significant punishment will be assessed if an FBO keeps operating after the license has expired. Operating a food business with an expired FSSAI license or registration is considered a breach of section 31 of the Food Safety and Standards Act, 2006 and can result in a fine of up to ₹10 lakh under section 63, the notice stated.

According to the FSSAI, this action was made to preserve traceability and transparency in the entire licensing structure designed for the nation's food industry. "The FSSAI has required that a closure report be submitted when a license or registration expires. In a statement released on Thursday, the food regulator stated that this is essential to preserving accountability and openness in the licensing framework.

Reports of food businesses operating on expired licenses prompted the food authorities to initiate this action. "There were reports of food businesses continuing to function even on expired licenses until they applied or got their renewed license," said a senior official with knowledge of the situation, who asked to remain anonymous. That must end because it is unacceptable. This action is an effort to guarantee complete transparency in their operations.