Food Regulation and Compliances in India and Comparison with FSSC 22000

Food Compliances in India for Restaurants, Cloud Kitchens, and Food Delivery Agencies

The Food Safety and Standards Act, 2006 (FSSA) is the primary legislation governing food safety in India. 

It mandates that all food businesses, including restaurants, cloud kitchens, and food delivery agencies, comply with specific regulations to ensure the safety and quality of the food they handle.

The Food Safety and Standards Act of 2006 authorised the Food Safety and Standards Authority of India (FSSAI), which was created to establish science based guidelines for food production, distribution, retailing, and consumption.

Key Compliances:

1. Registration/License:

  All food businesses must obtain either a registration or a license from the Food Safety and Standards Authority of India (FSSAI), depending on their turnover and nature of operations.

   FSSAI Regulations, 2011, specify the criteria for registration and licensing.

   Penalties: Operating without registration or license can result in penalties, including imprisonment and fines.

2. Hygiene and Sanitation:

   Maintaining hygienic practices throughout the food handling process, from procurement of raw materials to final delivery.

 FSSAI lays down specific guidelines for hygiene and sanitation, including personal hygiene of food handlers, cleanliness of premises, and proper handling of food.

   Penalties: Non-compliance can lead to penalties and even closure of the establishment.

3. Food Safety Management System (FSMS):

Implementing an FSMS to identify and control food safety hazards.

  FSSAI encourages the adoption of Hazard Analysis and Critical Control Point (HACCP) principles for effective FSMS. While not mandatory for all businesses, implementing an FSMS can help prevent food safety incidents and reduce the risk of penalties.

 

4. Labelling and Packaging:

   Proper labelling of food products with accurate information about ingredients, nutritional value, and expiry date.

 FSSAI Packaging and Labelling Regulations, 2011, specify the requirements for food labels.

Penalties: Misleading or inaccurate labelling can result in penalties.

 

5. Transportation and Storage:

 Ensuring safe transportation and storage of food to maintain its quality and prevent contamination.

  FSSAI provides guidelines for the safe transportation and storage of food.

Penalties: Improper transportation and storage can lead to food spoilage and contamination, resulting in penalties.

6. Compliance with Specific Regulations:

   Adhering to specific regulations related to the type of food being handled, such as those for meat, dairy, or processed foods.

FSSAI Food Products Standards and Food Additives Regulations, 2011: These regulations establish standards for various food products and regulate the use of food additives.

   FSSAI has specific regulations for various food categories.

   Penalties: Non-compliance with specific regulations can result in penalties.

 

7. Training of Food Handlers:

   Ensuring that food handlers are trained in food safety and hygiene practices.

   FSSAI encourages the training of food handlers. While not always a mandatory requirement, training can help prevent food safety incidents and reduce the risk of penalties.

8. Penalties for Non-Compliance:

The penalties for non-compliance with FSSAI regulations can vary depending on the severity of the violation. They can include:

•  Warning: For minor violations.
•  Fines: Up to Rs. 10 lakh.
•  Imprisonment: Up to 6 months.
•  Closure of the establishment: In case of serious violations.

9.  Cloud Kitchens and Food Delivery Agencies:

A.  Cloud Kitchens: Need to ensure that their premises and operations comply with FSSAI regulations, including hygiene, sanitation, and food safety.

B.  Food Delivery Agencies: Responsible for ensuring that the food they deliver is transported safely and maintains its quality. They may also be required to obtain licenses or registrations depending on their operations.

10. Comparison with FSSC 22000:

 FSSC 22000

FSSC (Food Safety System Certification) 22000 is a globally recognized food safety management system certification scheme that is based on the ISO 22000 standard, while FSSAI standards refer to the food safety regulations set by the Food Safety and Standards Authority of India (FSSAI) within the country, essentially meaning FSSC 22000 is an internationally accepted standard that can be used by Indian companies, but they also need to comply with the specific FSSAI regulations within their local market.

FSSC 22000 is recognized by the Global Food Safety Initiative (GFSI), which means it is widely accepted by international retailers and customers.

While FSSAI regulations in India do not explicitly mandate FSSC 22000 certification, many of the requirements of FSSC 22000 are aligned with the FSSAI regulations.

A. Key similarities:

 1. Hazard Analysis and Critical Control Points (HACCP): Both FSSC 22000 and FSSAI regulations emphasize the importance of HACCP for identifying and controlling food safety hazards.

 2. Hygiene and Sanitation: Both standards require strict adherence to hygiene and sanitation practices throughout the food handling process.

3. Traceability: Both standards require the ability to trace food products from source to consumer.

 4. Internal Audits: Both standards require regular internal audits to ensure compliance with food safety requirements.

B. Key differences:

 1.  Scope: FSSC 22000 is a comprehensive food safety management system standard that covers all aspects of the food supply chain, while FSSAI regulations focus specifically on food businesses operating within India.

 2.  Certification: FSSC 22000 is a certifiable standard, while compliance with FSSAI regulations is typically assessed through inspections and audits conducted by FSSAI authorities.

 3. Requirements: FSSC 22000 may have more stringent requirements in certain areas, such as documentation and record-keeping.

11. Other Food Legislations:

A. Prevention of Food Adulteration Act, 1954: 

This act, although superseded by the FSSA, still plays a role in certain areas of food safety.

 B. Essential Commodities Act, 1955: 

This act deals with the production, supply, and distribution of essential commodities, including food items.

C. The National Food Security Act, 2013 (NFSA 2013):

The NFSA 2013 converts into legal entitlements for existing food security programmes of the Government of India. It includes the Midday Meal Scheme, Integrated Child Development Services scheme and the Public Distribution System.

D. Food Corporation Act, 1964

This Act established the Food Corporation of India (FCI) in 1965, which is a statutory body under the Ministry of Consumer Affairs, Food and Public Distribution. The FCI operates through its many depots located across the country.

E. Indian Penal Code:

 Section 272: Adulteration of food or drink intended for sale.

Section 273:- Sale of noxious food or drink

These are now replaced by Section 274 of the Bhartiya Nyaya Sanhita (BNS) of 2023. 

F. Standards of Weights and Measures Act, 1986: 

Ensures the accuracy of food measurements

12. Key Objectives of Food Laws in India

A. Ensure food safety: Protect public health by preventing the sale of adulterated, contaminated, or unsafe food.

 B. Maintain food quality: Ensure that food products meet established standards of quality and hygiene.

 C. Protect consumer rights: Provide consumers with accurate information about food products and protect them from misleading or deceptive practices.

 D. Facilitate fair trade: Promote fair competition among food businesses.

These legislations work together to ensure that food produced and sold in India meets safety and quality standards, protecting the health and well-being of consumers.

13. Developments:

FSS Amendment Bill 2020 was framed to revamp the functioning and jurisdiction of FSSAI, by the Ministry of Health and Family Welfare on September 23, 2020. 

The Food Safety and Standards (Amendment) Bill, 2020, introduces 70 amendments in the present FSSAI act, 2006. It intends to revamp the functioning and jurisdiction of the FSSAI.

Presently, the FSSAI has only 377 regulations. However, some countries around the globe have more than 10,000 foods and detailed standards. 

Conclusion:

Compliance with these food laws is essential for businesses to operate legally and maintain the safety and trust of consumers. Regular updates and amendments to these regulations may occur, so staying informed about the latest standards and consulting with relevant authorities or experts are crucial steps for both food businesses and consumers to ensure the highest standards of food safety and quality in India.

By implementing an FSMS that aligns with both FSSAI regulations and FSSC 22000 principles, food businesses in India can enhance their food safety performance, improve customer confidence, and gain a competitive advantage in the global market.

Disclaimer:

This information is for general guidance only and should not be considered legal advice.

 

Looking Ahead to 2025: What In-House Legal Counsels Can Expect

The legal landscape is constantly evolving, and the in-house counsel will face a range of challenges and opportunities in the year ahead.

As we step into 2025, the in-house legal counsel is expected to face a dynamic and transformative year. Here's a glimpse into what lies ahead:

1. Embracing AI and Legal Tech:

• AI-powered tools are set to revolutionize legal work. Expect to see increased adoption of AI for contract analysis, legal research, and due diligence, streamlining processes and enhancing efficiency. For legal professionals, the AI-driven future necessitates adaptability. Continuous learning, understanding AI's capabilities, and its limitations, and focusing on uniquely human skills like empathy, judgment, and complex problem-solving will be crucial. Collaborating with AI tools, rather than viewing them as competition, will be the key to harnessing their full potential.
• Legal tech platforms will continue to gain traction, providing access to legal information, document management, and collaboration tools, transforming how legal teams operate. For in-house counsels, adopting legal technology is essential to navigate complex legal landscapes, improve operational efficiency, and ensure compliance. By strategically adopting legal tech tools, in-house legal teams can streamline legal processes, reduce costs, and deliver more value to their organizations.

2. Navigating the Regulatory Maze:

• India’s regulatory environment is a multi-layered system encompassing federal, state, and local levels. Despite reforms, hurdles such as, Lengthy approval processes for licenses and permits; Fragmented Regulations across states and sectors; Taxation Complexities & Ambiguities in interpreting tax laws, exist. The rise of digital ecosystems, powered by technologies like AI and blockchain, is making real-time regulatory tracking and compliance transparency more accessible. These digital solutions streamline processes, enabling companies to adapt swiftly to regulatory updates and maintain seamless operations across various jurisdictions. Recently, in a lecture, Justice Dipak Misra highlighting the growing responsibilities of in-house legal counsel in aligning corporate strategies with regulatory changes, stressed that compliance is not just a statutory obligation but a competitive advantage, stating, “Only a compliant entity is confident.”
• Data privacy remains a top concern. The evolving regulatory landscape, including the Indian Digital Personal Data Protection Act, 2023 (DPDPA) with its upcoming Rules, the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA), will require ongoing vigilance and proactive compliance strategies. The DPDPA has a broad range, even outside of India, and applies to all organizations processing the personal data of Indian residents, including businesses operating in India, foreign entities, government bodies (with certain exemptions), and data controllers/processors.
• Cybersecurity threats are constantly evolving. In-house counsel will play a crucial role in developing and implementing robust cybersecurity measures to protect sensitive data and mitigate risks. As India witnesses increased and rapid digital usage after Covid, Critical infrastructures such as financial services, banking, energy, manufacturing, and nuclear power plants are rapidly going digital, the need for a robust cybersecurity readiness takes center stage. Recent reports indicate a concerning trend, with approximately 83 percent of Indian organizations experiencing cybersecurity incidents in 2023, necessitating the inhouse legal counsel aligning legal proficiency with technical vigilance.

3. The Rise of ESG:

• Environmental, Social, and Governance (ESG) considerations are increasingly important for businesses. In-house counsel will need to advise on ESG-related risks and opportunities, ensuring compliance with evolving regulations and stakeholder expectations. It is the in-house counsel who can reinforce the company’s commitment to sustainability and human rights, drive accountability across the supply chain, and mitigate potential legal risks associated with non-compliance.
• Securities and Exchange Board of India (SEBI) has said that companies can now opt for either 'assurance' or 'assessment' for Business Responsibility and Sustainable Reporting (BRSR) Core and ESG disclosures for the value chain. The Assessment will be guided by standards to be developed by the Industry Standards Forum (ISF) in consultation with SEBI.
• Supply chain sustainability is gaining prominence. India faces the challenge of balancing economic development with environmental sustainability. Green Public Procurement (GPP) can be a powerful tool to help address this challenge by leveraging India’s public spending, which accounts for nearly 30% of its GDP. Through green procurement, governments can reduce the environmental impacts of their purchases, while also supporting the market to shift to more sustainable practices. Legal teams will be involved in assessing and mitigating risks associated with ethical and sustainable sourcing practices.
• Ethical Sourcing in India, where the economy is deeply intertwined with diverse industries ranging from textiles to technology, ethical sourcing practices are becoming a benchmark for evaluating third-party vendors, influencing brand reputation, customer loyalty, and competitive advantage. In-house counsel have a responsibility to go beyond legal compliance and act as ethical stewards within their organization.

4. Building a Business-Focused Legal Function:

• Collaboration with business leaders will be paramount. In-house counsel will need to demonstrate a deep understanding of business objectives and provide strategic legal advice that supports growth and innovation. "Legal is no longer just the lifeblood of business in this digital age, it is the guardian and protector of a company's brand, reputation and stakeholder trust".
• Data-driven decision making will be essential. Legal teams will leverage data analytics to identify trends, assess risks, and measure the effectiveness of legal strategies. Leaders of legal operations teams are increasingly learning to use their data to inform strategic decisions, pinpoint areas for process enhancement, advocate for additional resources, and establish their position as business leaders within the organization.

5. Prioritizing Well-being and Professional Development:

• Work-life balance remains a critical concern. Every day another in-house counsel discovers the myth of work-life balance. And you are not alone. In-house counsel will need to prioritize their well-being and seek opportunities for professional development to stay ahead of the curve.
• Diversity and inclusion will continue to be a focus. In any organisation, ideas and perspectives are very important for the process of decision making. Whenever there is a bottleneck or a crisis, life experiences gathered by different team members help in navigating the organisation out of difficulties. This is exactly where the tenets of diversity and inclusion come to the rescue. Creating an inclusive and equitable workplace will be essential for attracting and retaining top talent.
• Continuous Learning and Development: Staying ahead in the legal field will require continuous learning. In-house counsel will need to keep up with the latest legal trends, technologies, and best practices through ongoing education and professional development

Looking Ahead:

2025 promises to be a year of exciting challenges and opportunities for in-house legal counsel. By embracing innovation, adapting to change, and prioritizing collaboration, legal teams can play a vital role in driving business success in the years to come.

#InHouseCounsel #LegalTrends #AI #LegalTech #ESG #Cybersecurity #ContinuousLearning

Originally published at My Linkedin Post