Guide

FSSAI Turnover Limits & Eligibility Criteria Explained

Every food business in India falls into one of three FSSAI categories, and turnover is the single biggest factor that decides which one applies to you. This guide explains the ₹1.5 crore and ₹50 crore thresholds, the production-capacity and activity rules that sit alongside them, and how to read the threshold table for your own business.

Quick answer

Your FSSAI category is decided by your annual turnover and business scale. Turnover below ₹1.5 crore needs a Basic Registration; ₹1.5 crore to ₹50 crore in a single state needs a State Licence; above ₹50 crore, or any importer, exporter, multi-state operator or e-commerce seller, needs a Central Licence.

What decides my FSSAI category?

Your FSSAI category is decided mainly by your annual turnover, and then by your production capacity, the nature of your activity and where you operate. Turnover below ₹1.5 crore places you in Basic Registration; ₹1.5 crore to ₹50 crore within a single state places you in the State Licence bracket; and turnover above ₹50 crore places you in the Central Licence bracket.

Turnover is not the only test. Certain activities push you to a higher category regardless of how much you earn. Importers and exporters, businesses operating in more than one state under one brand, e-commerce food sellers and specific manufacturers (such as certain dairy, meat, vegetable-oil and proprietary-food units) are directed to a specific tier based on activity and capacity, not just money.

In short, the authority looks at the highest applicable criterion. If either your turnover or your capacity or your activity qualifies you for a higher licence, that higher category applies. CAREALL reviews all three factors together so you apply once, in the correct category, on the FoSCoS portal.

What are the FSSAI turnover thresholds for each category?

The FSSAI turnover thresholds are: below ₹1.5 crore for Basic Registration, ₹1.5 crore to ₹50 crore for a State Licence, and above ₹50 crore for a Central Licence. The table below sets out the turnover bands alongside the other qualifying criteria so you can locate your business at a glance.

FSSAI categories by turnover and scale (2026)
CategoryAnnual turnoverScale / reachRelative cost
Basic RegistrationBelow ₹1.5 crorePetty operator, single state, small capacityLowest
State Licence₹1.5 crore to ₹50 croreSingle state, mid-size capacityHigher (varies by capacity)
Central LicenceAbove ₹50 croreMulti-state, importer/exporter, e-commerce, large capacityHighest

Does production capacity override turnover for FSSAI?

Yes. Production or handling capacity can push you into a higher FSSAI category even when your turnover is low. A small manufacturer earning under ₹1.5 crore can still require a State or Central Licence if its daily production capacity crosses the prescribed limits for its product type.

As a broad guide, manufacturers and processors above small-capacity thresholds move from Basic to State, and large-capacity units move to Central. Milk handling volumes, meat-processing volumes, storage-cold-store capacity and the number of production lines all have their own limits laid down in the regulations. Because these limits vary by product, capacity is assessed case by case.

The practical rule is simple: whichever criterion demands the highest category wins. If your capacity says Central but your turnover says State, you file for Central. CAREALL checks your installed capacity against the current norms before filing so your application is not rejected for an under-stated category.

Which businesses always need a Central Licence regardless of turnover?

Some businesses need a Central Licence no matter what their turnover is. Every importer and exporter of food, every food business operating in more than one state under a single brand or head office, and operators at ports, airports and central-government premises fall under Central Licence by activity, not turnover.

E-commerce food sellers and large online aggregators are also directed to the Central category. Importers and exporters additionally need an Import-Export Code (IEC), and packaged drinking water manufacturers need BIS/ISI certification alongside their FSSAI licence. A valid FSSAI number is in any case mandatory to list on Swiggy, Zomato, Amazon, Flipkart, Blinkit or ONDC.

If you plan to grow across states or start importing, it is often sensible to apply for the correct higher category from the outset rather than upgrade later. CAREALL advises on this at the application stage so your licence matches your real business model.

What counts as turnover for FSSAI eligibility?

For FSSAI eligibility, turnover means the gross annual sales value of your food business, taken across all outlets and activities operating under the same entity. It is the aggregate figure, not the profit, and it is assessed for the financial year.

When a single legal entity runs several units, their turnovers are added together to determine the category. This is why a chain of small outlets can cross the ₹1.5 crore or ₹50 crore mark on a combined basis even when each outlet individually looks small. New businesses estimate turnover realistically for the first year and choose the category that fits that projection.

Declaring turnover accurately matters, because an under-stated figure that leads to the wrong category can cause rejection or a later modification requirement. If your turnover grows past a threshold, you should upgrade your category to the higher tier without delay rather than waiting.

How do I choose the right FSSAI category for my turnover?

To choose the right FSSAI category, compare your turnover, your production capacity and your activity against all three tiers, then apply for the highest category any single criterion demands. If everything points below ₹1.5 crore and single-state, you take Basic Registration; if turnover sits between ₹1.5 crore and ₹50 crore in one state, you take a State Licence; if any criterion crosses into multi-state, import/export, e-commerce or above ₹50 crore, you take a Central Licence.

The comparison below shows the three tiers side by side on the factors that most often decide the outcome.

Basic vs State vs Central — quick eligibility comparison
FactorBasic RegistrationState LicenceCentral Licence
TurnoverBelow ₹1.5 crore₹1.5 crore–₹50 croreAbove ₹50 crore
Geographic reachSingle stateSingle stateMulti-state / national
Import & exportNot permittedNot permittedRequired
E-commerce listingSmall sellers onlyPermittedLarge aggregators
ValidityIndefinite (annual fee)Indefinite (annual fee)Indefinite (annual fee)

Frequently asked questions

Is turnover the only factor that decides my FSSAI category?

No. Turnover is the primary factor, but production capacity and the nature of your activity matter too. Importers, exporters, multi-state operators and e-commerce marketplace operators need a Central Licence regardless of turnover, and sellers shipping across state lines generally need one too. A high production capacity can also push a low-turnover manufacturer into a higher tier. The highest applicable criterion decides your category.

What happens if my turnover crosses ₹1.5 crore during the year?

If your turnover grows past ₹1.5 crore, you move from Basic Registration into the State Licence bracket and should upgrade rather than wait. This is handled through a category modification on the FoSCoS portal. Operating on the wrong category can attract penalties, so it is best to upgrade promptly. CAREALL can file the modification and track it to issuance.

Do I add up turnover across all my outlets for FSSAI?

Yes. When one legal entity runs several outlets or units, their turnovers are combined to decide the category. A group of small shops under one business can therefore cross the ₹1.5 crore or ₹50 crore threshold on a combined basis even if each outlet is individually small. The aggregate figure determines whether you need Basic, State or Central.

Which turnover needs a Central FSSAI Licence?

Turnover above ₹50 crore in a financial year requires a Central Licence. However, turnover is not the only trigger: importers, exporters, businesses operating across more than one state under one brand, and large e-commerce food operators also need a Central Licence even below ₹50 crore. Whichever criterion is highest sets the category.

How do I confirm the correct category before applying?

Compare your projected turnover, installed capacity and business activity against all three tiers, and pick the highest category any one of them demands. If you are unsure, an advisory review avoids a rejected or mis-categorised application. CAREALL assesses all three factors together, files in the correct category on FoSCoS and tracks the application to issuance.

This guide is kept current for 2026. It is general information, not legal advice — for your specific case, talk to a CAREALL consultant.

Related

Need this done for your food business?

Fill our quick form and a CAREALL consultant will handle it for you — or chat on WhatsApp.