Restaurant, eateries, canteens to require licences from Food Safety and Standards Authority of India to operate

NEW DELHI: Come February 4 and all eateries in the country-from restaurant chains such as KFC and McDonalds to restaurants within hotels like Bukhara and Swagath to even school canteens and corporate cafeterias-will need a 'food business operator' licence from central food authority Food Safety and Standards Authority of India to operate.

The authority plans to randomly check food joints across the country after the February 4 deadline for obtaining the licence with the help of state food authorities, a Food Safety and Standards Authority of India (FSSAI) official said.

If a restaurant is found without licence, the authority can penalise it and even have it shut down.

The move seems to have stirred a hornest's nest in the country's burgeoning Rs 50,000-crore eating-out industry with some operators suggesting that FSSAI needs to make the procedure more user-friendly and move the deadline. "On paper, the compliance looks easy, but the FSSAI has to make the documentation user-friendly so it's easy for restaurant operators to comply with the guidelines," said Pradeep Sehgal, CEO of the Delhi-based Sub-One Hospitality Services, which holds franchisees for restaurant chains such as Nirula's, Moti Mahal and Muffin Break.

Head of a leading MNC fast-food chain said the deadline may have to be pushed back. The FSSAI official, however, ruled this out, saying the authority started the procedure one-and-a-half years ago, in August 2011. "Restaurant operators have had enough time to comply with the norms and take the licence. If they fail to do it on time, that's their problem."

According to this person, just about 30 per cent eateries in the country have taken the FSSAI licence so far.

There are anywhere between 50-60 lakh eateries in the country. Food safety has been a perennial challenge in India with frequent cases of food adulteration and food poisoning. Last October, an outlet of KFC in Thiruvananthapuram was shut down temporarily by the Kerala food safety authority after worms were found in a chicken dish.
A spokesperson for US chain Yum Restaurants, which runs the KFC and Pizza Hut outlets in the country, said the company will follow the FSSAI guidelines. "We are taking steps to comply with the timelines set," the person said.

STRINGENT NORMS

Many players in the business, particularly small outlets, however, may find it difficult to comply with the new norms.

"It's a progressive move...though there are certain compliance issues which need to be addressed," Samir Kuckreja, former Nirula's MD and CEO and president of the National Restaurants Association of India, said.

Under the guidelines, every restaurant in every city will require a separate licence. In addition, a food business firm will need a central licence obtained from the head office.