FSSAI to make daily records mandatory for food businesses, MSMEs to bear brunt of new norm

Dhirendra Kumar
2 min read26 Feb 2026, 05:55 AM IST
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The Indian food processing market reached $354.5 billion in 2024 and is expected to grow to $535 billion by the end of 2025-26.(Pixabay)
Summary
The proposed move would strengthen enforcement and monitoring, allowing authorities to track the movement and handling of food products more effectively and to respond faster to contamination, recalls, or food safety violations. India to mandate daily records for food businesses, FSSAI tells WTO.

In a sweeping change that will impact nearly five million food businesses in India, the country's food regulator plans to tighten food safety compliance norms by mandating daily production and storage records to be maintained by such units.

The new norms are part of a proposal made to the World Trade Organization (WTO) wherein the Food Safety and Standards Authority of India (FSSAI) said it plans to amend the Food Safety and Standards (Licensing and Registration of Food Business) Regulations, 2011, to require food operators to maintain daily records of raw materials, ingredients, work-in-progress, and finished food products.

FSSAI has stated that its objective is to strengthen food safety monitoring and traceability by improving documentation of production and storage practices, according to the notification, reviewed by Mint.

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Such daily documentation will help ensure real-time visibility into food-handling practices across the supply chain, a government official said on condition of anonymity. Clearer documentation could also reduce disputes during inspections.

The regulator has not specified the implementation date for the new norms and has invited comments until 5 April 2026.

The proposal, notified under the WTO’s Technical Barriers to Trade framework, will apply to all licensees under the Food Safety and Standards Act, 2006.

Mint's emailed queries to the FSSAI chief executive Rajit Punhani remained unanswered.

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Compliance burden for SMEs

FSSAI data shows that it has issued licences to over 10 million food business operators (FBOs) with the number of currently active ones at around 4.63 million.

An industry representative flagged compliance cost and regulatory friction that will accompany the new norms.

“Daily reporting would add another burden on small businesses,” said Vinod Kumar, President, SME Forum that represents micro, small, and medium enterprises in India. "While larger food companies already follow similar practices, smaller units may face higher administrative costs and operational adjustments once the rule is enforced.”

Under the Food Safety and Standards Act, 2006, every food business operator—right from manufacturers to vendors and eateries—is required to obtain an FSSAI licence or registration.

The Indian food processing sector accounts for 13% of the country's manufacturing gross value added. Its market is expected to grow to $535 billion by the end of 2025-26, according to the India Brand Equity Foundation, an organization registered under the commerce ministry. The sector is projected to expand to $700 billion by 2030 and $2.15 trillion by 2047.

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Boost for larger players, exporters

Experts said the move will help improve traceability and align India’s food safety framework with international practices, which could be relevant for exporters facing scrutiny over documentation and standards in overseas markets.

“For an organized, export-ready manufacturer, this does not create a material compliance burden,” said Deepanshu Manchanda, managing director of online marketplace Zappfresh (operated by DSM Fresh Foods Ltd). “The incremental work will be in how records are formatted and presented for regulators, not in changing core systems or processes."

But, for smaller food businesses, it will raise compliance burden and costs. "In contrast, smaller manufacturers without integrated digital workflows may need to invest in systems and training to meet daily record-keeping expectations,” said Manchanda.

Haresh Karamchandani, managing director and Group CEO of Gujarat-based manufacturer and exporter of frozen foods HyFun Foods, said the requirement will establish better recall procedures and create strict inventory management systems that protect frozen food production processes.

“The entire industry needs to implement process and technology upgrades, which will provide major advantages through enhanced consumer confidence and international regulatory compliance,” Karamchandani added.

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