How To Start A Factory With A Valid Cosmetic Manufacturing License?
In today’s fast-growing world, the cosmetic industry has brought a big revolution by enhancing the market growth. On the other side, with the high demand for cosmetic products, the production sector also took a new path. The people of this nation are consistently showcasing their interest in skin and makeup products. To capitalize on the ongoing high trend of skin and make-up products, various industries and individuals are making their careers in the same way to utilize profits. The field where growth increases without any external force or pressure.
However, before building the industry, the manufacturer or individual needs to register with the CDSCO for a compulsory cosmetics manufacturing license. Explore what the procedure is to develop a factory with a cosmetic certificate in India and what challenges can arise during this process.
Significance of a Cosmetic License Certificate
The continued presence of social media helped the cosmetic business and influenced many. The population of India and the increasing success of disposable use are the main features to build the skin and make-up industry. In comparison to the other major businesses in India, the cosmetic business stands out as one of the most profitable. By analyzing the ongoing trends and interests of the public, the administration of India introduced severe rules and regulations. The rules and regulations that allow the regulatory authority to regulate products for safety and quality purposes.
Therefore, the manufacturers, distributors, and importers who are active in the cosmetic sector need to require a valid cosmetic certificate. The cosmetic license certificate serves as a tool for all manufacturers. The tool helps the industry to work legally in India and further ensures the safety of customers with proper testing and inspection.
Need for a Cosmetic Manufacturing License in India
- CDSCO bans those manufacturing industries that operate without a valid cosmetic certificate.
- The presentation of the license clarifies that the products have undergone the safety and quality testing procedure, preventing the consumers from infection or any untreatable illness.
- One of the major needs of the license is to acquire market access and sell the product legally in India.
- The cosmetic manufacturing license adheres to the safety and quality standards, helping in boosting industry image and trustworthiness.
- Cosmetic registration expands features to enter new markets for business growth and new opportunities.
Importance of a Cosmetic Certificate to Run Business
- Under the Drugs and Cosmetics Act of 1940, the legal importers, distributors, and manufacturers are allowed to sell products with legal compliance.
- Having a valid certificate is mandatory as it boosts the confidence and trust of consumers.
- The Indian government helps small legal businesses that are struggling by introducing government schemes and financial incentives.
- Safeguard the business from potential legal risks and penalties with a valid cosmetic manufacturing license.
Required Documents to Obtain the Cosmetic Registration
1. Fulfill the Form 31 to open a manufacturing industry.
2. As per the required certificate, select COS-8, COS-9, or COS-5.
3. Attach the document of the rental agreement, including the blueprint.
4. A complete roadmap of the industry.
5. Obtain the NOC from the relevant panchayat or municipality.
6. List of machines and equipment with their testing certificate.
7. A certificate that clarifies ethical products are not tested on animals.
Also Read This – The Role Of A Cosmetic Certificate In Building Brand Credibility
Procedure for Setting up an Industry with Cosmetic License
1. The applicant should hire a cosmetic license consultant to decrease the challenging factor during the procedure.
2. Obtain the forms 31 and 32 from the regulatory body of cosmetics or the SLA (State Licensing Authority)
3. According to the industry type, select the application form (e.g, Form COS-5 is for the cosmetic manufacturing industry).
4. Make a collection of supporting documents that meet all compliance standards.
5. Before the submission of the application, make the mandatory payment.
6. Here, the process ends, the officials of the regulatory authority review the application for further certification.
Factory Premises Need in Manufacturing of Cosmetic Products
The manufacturers must follow the development procedure by analyzing all aspects. Setting up a manufacturing industry needs a complete procedure, including monitoring the negative and positive points. It further required meeting the rules, regulations, and guidelines that fall under a certain category introduced by the administration. Well, the growth of industries depends on the production trend, including the interest of consumers. The cleanliness, hygiene, and environmentally friendly products catch the eye-interest of consumers. A clean location, environment-friendly products, a location away from the residential area, and pest-free are the major activities to do before building a cosmetic factory. Check out the points to understand which steps should be taken for building:
Location Measurement and Environment
As per the Indian rules and regulations, the industries that perform chemical work are not allowed to build a factory near a residential area. Set the cosmetic manufacturing industry apart from domestic zones. Ensure the wastewater disposal and maintain hygiene.
Architect of the Building
The industry should not have more than 6 feet in height. Set up the emergency alarm and fire extinguisher, including other major safety measures. During the fire accident, enable mandatory use of the extinguisher to prevent injury.
Technical Staff
Build a strong staff that knows pharmacists. Having the qualified technical staff helped with the industry’s growth by maintaining the product quality. Generate a proper list that mentions the type of machine and equipment used for the cosmetic product’s production and testing.
License Number and Packaging
The name of the industry and logo must be visible on the cosmetic product’s package. The elements, such as instructions, the expiry and packaging date, including warnings, enhance transparency. Mentioning the cosmetic manufacturing license number on the product protects it from penalties.
Mandatory License for the Cosmetic Manufacturing Industry
Under the Drugs and Cosmetics Act of 1940, every manufacturing industry of cosmetics must obey the regulatory standards. The introduced act falls under the category of Indian cosmetic rules and regulations. The aim was to introduce the regulations to regulate all activities of industry, the importation, exportation, and many more. The type of cosmetic business requires a certain certificate. Meanwhile, the administration set a boundary for manufacturers of cosmetics. To operate the skin and make-up items in India, the individual must follow the requirements regulations. The certainty of the act and standards defines requirements for manufacturers to register with the authority. Typically, there are three kinds of certificates provided by CDSCO.
Form 32 : For running a manufacturing industry of cosmetics in India, registering for Form 32, also known as the cosmetic manufacturing license certificate, is crucial.
Form COS-8: CDSCO provides the manufacturing license (Form COS-8) to those industries or individuals who have their own operating manufacturing firm for production and selling purposes. For this license, the industry must submit Form COS-5.
Form COS-9: Many companies or operators are monitoring the production of cosmetic products without manufacturing facilities. The loan license (Form Cos-9) is issued by the authority to those industries that don’t have the manufacturing facilities. In this situation, they work with other manufacturing industries that have proper systems and equipment. For the loan license, it is necessary to submit in Form Cos-6.
Penalties Faced by Companies Without a Cosmetic License
Under the Drugs and Cosmetics Act 1940, cosmetic manufacturers or sellers who operate the company without registering with the Central Drugs and Standards Control Organization can face potential penalty risks. The regulations clarify that maintaining a cosmetic business without registering with CDSCO is marked as unlawful. The authority introduced the law to protect the public of the nation from harmful products that can cause serious illness or infection.
On the other side, not having the cosmetic license can lead to penalties, which include fines, imprisonment, product or company seizure, market image damage, and many more. Without a valid cosmetic certificate, the authority charges a fine for operating a manufacturing company. However, the authority charges fines for the violations committed by the industry.
For breaking the rules and regulations of the Drugs and Cosmetics Act, the industries or individuals can suffer imprisonment. The administration validated the imprisonment for 1 year for those industries that monitor without a certificate. However, for adding any type of serious chemicals in cosmetics that lead to consumers’ poor health, the imprisonment varies up to 3 years. Due to the violation, the authority can take strict action by seizing the products and can also shut down the company.
Final Thoughts
Developing a successful cosmetic industry needs a valid license, premium-quality products, high-machined equipment and machines, a technical staff, and many more. The valid cosmetic manufacturing certificate offers access to market entry and also helps to work legally. To build a certified cosmetic firm, connect with Legal Raasta Pvt Ltd, which handles all legal issues to ensure regulatory compliance, and the experts with years of experience provide consultation for cosmetic registration.
