Every food business in India needs some form of FSSAI approval, but which of the three tiers applies depends mostly on turnover and, for a few business types, on scale of operation rather than revenue alone.
Basic registration
For small food businesses with an annual turnover up to ₹12 lakh — a single food cart, a small home kitchen, a petty food manufacturer. This is a registration, not a license, and it is the cheapest and fastest to obtain (see the FSSAI License Renewal guide for the renewal process once you have one).
State license
For mid-sized businesses with turnover between ₹12 lakh and ₹20 crore — most standalone restaurants, cloud kitchens with real production volume, mid-scale manufacturers, and distributors operating within a single state. State licenses are issued by the state’s Food Safety Commissionerate.
Central license
For businesses with turnover above ₹20 crore, or that operate in more than one state, import or export food products, or supply to central government agencies (railways, airports). Central licenses are issued directly by FSSAI’s head office rather than a state office.
Switching between tiers
Your license tier is not fixed for life. If your turnover crosses into the next tier, you are required to apply for the higher tier — this is usually done as a fresh application rather than a simple renewal, since the supporting documents (turnover proof, scale of operation) differ by tier. Renewing at the same tier you already hold, on the other hand, is covered by the FSSAI License Renewal guide.
Which one do you actually need?
If you are unsure which tier your business currently qualifies for, the safest approach is to total your last 12 months of turnover across all outlets/locations under the same business, and check it against the ₹12 lakh and ₹20 crore thresholds above. When a business is right at a boundary, most operators register one tier up rather than risk being found under-registered during an inspection.