Licenses required for manufacturing Cosmetics in India

Licenses required for manufacturing Cosmetics in India

Cosmetic is one of the important parts of pharmaceutical sector as it is associated with the health of public at large. In today lifestyle people are keen to use cosmetic products in various forms i.e. in the form of medicines, eatables and various products that are directly use on the skin to enhance the features. As the product is associated with the health of the public, licensing is required for manufacturing such kind of products and selling them in the market.

Meaning of cosmetics?

According to the Drug and Cosmetic Act, 1940, cosmetic means an article that can be used in any part of the human body. It may be rubbed, poured, sprinkled or sprayed on. It can be applied on any part of body to cleanse or for enhancing beauty. Mainly 11 categories of cosmetics are included under the preview of cosmetics according to the Schedule M-II of the Drugs and Cosmetic Act, 1940 namely powder, nail polishes and nail lacquers, Lipsticks and lip gloss, Depilatories, Preparations used for eyes, Aerosol, Alcoholic Fragrance Solutions, Hair Dyes, Tooth powder and tooth pastes, Toilet Soaps, Creams, lotions, emulsions, pastes, cleansing milk, shampoos, pomade, brilliantine, shaving creams, hair oils etc.

What are the different licences required for manufacturing cosmetics?

Every manufacturing business needs to get license before starting any business from the State Licensing Authority, and to start manufacturing cosmetic unit following licenses are required under the Drugs and Cosmetics Act, 1940: –

  • License on Form 32: Whoever wants to establish cosmetic manufacturing business, this license is required and it is submitted in the Form 31 provided in the legislation.
  • License on Form 32-A: For obtaining loan license for manufacturing cosmetics Form 31- A should be submitted.
  • License on Form 37: License for approval for carrying out test on cosmetics for manufacturing or raw material used in the manufacturing can be obtained by submitting the Form No.36.

The application fee for the above license is Rs.2500/- and Rs. 1000/- for inspection subsequently. Moreover, the license is valid for three years and after that renewal is mandatory for continuing the business.

What are the essential documents for obtaining manufacturing cosmetic license?

  • A self declaration form
  • NOC from Pollution Control Board
  • Plan the layout of the premises
  • Rent Agreement in case of rented premises
  • List of laboratory equipment
  • Applicant’s affidavit
  • Installed Machines

What are the other requirements for manufacturing cosmetic license?

Educational qualification to start a cosmetic manufacturing:

To establish cosmetic manufacturing unit, one must have to obtain license from the authority and for obtaining that licence it is required that at least one member of the staff is technical expert and posses following educational qualification vested in him/ her:

  • Diploma in Pharmacy approved by the Pharmacy Council of India under the Pharmacy Act, 1948, or;
  • Is registered under the Pharmacy Act, 1948,or;
  • Has passed the intermediate examination with one of the subject as chemistry or any other examination which is recognised by the Licensing Authority as equivalent to it.

Inspection before granting license:

Before granting license to any cosmetic manufacturing unit an Inspector is appointer under the Drugs and Cosmetic Act, 1940, to check all the necessary requirements such as mandatory requirements for premises, labelling etc., then prepare a final report and submit it to the Licensing Authority.  If after analysing the report submitted by the Inspector, the Licensing Authority came to the conclusion that the company fulfils all the required conditions, then licence is issued in favour of the applicant company.

-Surbhi Singla

Associate at Aggarwals & Associates, Mohali