China’s food industry is rapidly changing, as consumers become increasingly knowledgeable and demanding with regard to the safety of their food. This presents opportunities for foreign investors, provided that they manage to successfully navigate China’s food safety regime. China’s food safety regime is anchored on the Food Safety Law (食品安全法), promulgated by the National People’s Congress (NPC) on 28 February 2009 and effective since 1 June 2009, and its implementing regulations (食品安全法实施条例), issued by China’s State Council and effective since 20 July 2009.The below guide provides an overview of China Food Production License/ Catering License/ Food Distribution License Application.
Food Production License could help ensure that the company meets the requirements pertaining to its manufacturing capabilities and environment. To engage in food production in China, enterprises must obtain a Food Production License. Applicants should apply for a Food Production License after having obtained enterprise name pre-approval from the AIC (unless the applicant is an existing enterprise).
In terms of requirements, the enterprise must possess the means for processing the specified type and volume of food products and must maintain the cleanliness of facilities. All staff involved in food service must undergo China Food and Drug Administration (CFDA)-approved safety training and a system must be in place for ensuring food product safety, including the prevention of cross-contamination. These requirements also apply to the Food Distribution and Catering Licenses discussed below.
Applicants for a Food Production License should additionally set up a health inspection and inspection records system or other health management systems for their personnel, establish a goods purchasing and pre-delivery inspection records system, and other food safety management systems for basic food ingredient inspections and manufacturing processes. The related documents would be required as follows:
1. Layout plans for the food production and processing venue and the surroundings thereof, including each functional section; all equipment and facilities for food production;
2. Food production process workflow chart and equipment layout diagram;
3. Food safety standards applying to the product(s) in question.
4. Site inspection by two to four inspectors will be conducted at the food production venue, and a product sample inspection will be required. Food Production Licenses are valid for three years and applications for renewal should be submitted six months prior to expiry. Enterprises receiving a Food Production License will be listed and searchable on the CFDA’s website.
Catering License: A catering service provider which has obtained a catering service permit need not obtain a food circulation permit when selling self-made or self-processed food at its catering service place. Catering service providers (individuals or organizations) must obtain a Catering License prior to engaging in business operations. This applies to group meal delivery service providers but not food stall operators or providers of semi-finished food products. The licensing system is administered by CFDA and its local iterations. License application materials include:
1. Business license (for those already engaged in other business operations) or evidence of name pre-approval;
2. A diagram of the premises and the on-site service processes;
3. A description of the food safety system.
An entity providing catering services at various locations must apply for separate licenses. The application process entails a site inspection conducted by the CFDA. The CFDA is charged with issuing a decision within 20 business days of accepting an application, but may extend this deadline by an additional 10 days if needed. The applicant should receive a License within 10 business days of approval. Following approval, Licenses must be displayed in a visible location on the business premises. Licenses are valid for three years; licenses for the provision of temporary catering services may not exceed six months’ validity. Reapplication should be made 30 days prior to expiry with the original issuing body.
Food Distribution License is required for engaging in the sale of food. Operators (individuals or organizations) engaged in food distribution (including retail and wholesale distribution of pre-packaged food or bulk food) are required to obtain a Food Distribution License. In certain cases, the requirement to obtain a Distribution License can be worked around, such as when a food producer who has obtained a Food Production License sells food products on their premises of production, or when a catering service provider who has obtained a relevant license sells food products at its venue.
Food Distribution licensing is administrated by the Administration of Industry and Commerce. The pre-requisites, application materials, validity period, and time frame for processing applications and renewals for food distribution operators are similar to those stipulated for catering service providers. If an entity has branches engaged in food distribution, each branch should apply for a separate Food Distribution License. Site inspection may be conducted if deemed necessary by the authorities.
China’s food safety licensing system comprises four main licenses:
Food Production Licence (食品生产许可证), for food producers;
Food Distribution Licence (食品流通许可证), for food distributors;
Food Catering Services Licence (餐饮服务许可证), for entities engaged in the food catering industry;
Food Additives Production Licence (食品添加剂生产许可证), for entities engaging in the production of food additives.
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