Centre eases food business norms, reduces compliance burden

The Centre has amended Food Safety and Standards Regulations, exempting non-manufacturing food businesses from certain record-keeping and stock rotation requirements. The reforms aim to improve ease of doing business, reduce compliance costs, and retain essential food safety controls for manufacturers

New Delhi: In a move aimed at improving the ease of doing business and reducing regulatory burdens on the food sector, the Ministry of Health and Family Welfare on Friday notified amendments to the Food Safety and Standards (Licensing and Registration of Food Businesses) Regulations, 2011.

The changes exempt non-manufacturing food businesses from certain record-keeping and stock rotation requirements while retaining key food safety controls for manufacturers.

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Under the earlier regulatory framework, all licensed food businesses were required to maintain records and follow stock rotation practices based on the First In First Out (FIFO) or First Expiry First Out (FEFO) principles.

Following the latest amendments, these requirements will now apply only to food manufacturing businesses, where such measures are considered essential for maintaining food safety, quality assurance and product traceability.

The revised norms exempt non-manufacturing food businesses, including retailers and similar entities, from these obligations. The move is expected to significantly reduce the compliance burden on food business operators, particularly small and medium enterprises, while ensuring that food safety oversight remains robust in areas where such controls are necessary.

The ministry said the amendments form part of a broader regulatory reform agenda aimed at improving the ease of doing business and promoting risk-based and outcome-oriented regulation in the food sector.

Over the past few years, the government has introduced several measures to simplify compliance requirements for food businesses. These include the provision of perpetual licences and registrations, revision of turnover thresholds, removal of dual compliance requirements for street food vendors and the implementation of a risk-based inspection system.

According to the ministry, the latest reforms were finalised after extensive consultations with states, Union Territories and stakeholders across the food business ecosystem. The amendments are also aligned with the recommendations of the high-level committee on non-financial regulatory reforms constituted by NITI Aayog, which had emphasised reducing unnecessary regulatory burdens while maintaining effective regulatory oversight.

The ministry reiterated its commitment to strengthening India’s food safety framework through science-based regulations, stakeholder consultations and continued efforts to simplify compliance requirements for businesses.