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China Launches Reform on Prepackaged Food Business License

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China Launches Reform on Prepackaged Food Business License

On 29 April 2021, China revised the Food Safety Law, which clearly stipulates that those who sell prepackaged food only do not have to apply for a food business license anymore. They are only required to file with local food safety supervision authorities instead.

Upon the revision of the Food Safety Law, Beijing, Zhejiang, Fujian, Guangdong and other provinces and cities have successively issued corresponding local policies, shifting approval of food business license for sales of prepackaged food only to a filing procedure. However, there are differences in local policies on whether the filing of prepackaged food includes healthy foods, formula foods for special medical purpose, formula foods for infants and young children, and other special foods. For example, the policies of Guangdong Province and Beijing clearly define that the forgoing special foods are include in the filing scope of prepackaged food, while the policies of Zhejiang Province and Fujian Province stipulate that the foregoing special foods are excluded from the filing scope.

In order to unify and implement the filing issues for sales of prepackaged food only, the State Administration for Market Regulation issued an Announcement on Matters Related to the Filing of Sales of Prepackaged Food Only (Draft for Comments) on 28 July 2021. The draft mainly defines the following matters:

  1. The filing scope for sales of prepackaged food only includes healthy foods, formula foods for special medical purpose, formula foods for infants and young children, and other special foods.
  2. Sales of prepackaged food through the internet and vending equipment are also subject to filing procedure.
  3. If a food dealer who sells prepackaged food only adds other food business items later, it shall apply for and obtain a food business license accordingly and cancel the previous filing at the same time.
  4. The filing procedure for sales of prepackaged food only will be conducted fully online.

The feedback time for the above draft has ended on 6 August 2021. It is believed that the State Administration for Market Regulation will finalize and release the formal announcement as soon as possible. And the local market regulation authorities will formulate and issue their own filing regulations and guidelines accordingly later.

KAIZEN Group is equipped with experienced and highly qualified professional consultants and is therefore well positioned to provide professional advices and services in respect of the formation and registration of company, application for various business licences and permits, company compliance, tax planning, audit and accounting in China. Please call and talk to our professional consultants for details.

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