DFTQC License in Nepal: Complete Guide to Food Business Licensing

The Department of Food Technology and Quality Control (DFTQC), known locally as Khadya Tatha Gun Niyantran, is Nepal's central regulatory authority responsible for food safety, hygiene, and quality control. Any business involved in food production, processing, packaging, distribution, import, or food service must obtain a DFTQC license before commencing operations. This license certifies that food products and operations meet the required safety and quality standards set by the Nepalese government.

The licensing framework is now governed by the Food Hygiene and Quality Act, 2081 (2024), which replaced the older Food Act of 1966. DFTQC has modernized its licensing process through the Nepal Food & Feed Industry Licensing System (NeFFILS), enabling businesses to apply online for new licenses and renewals. This guide provides complete information about obtaining a DFTQC license, including eligibility, documents, procedures, fees, and compliance requirements.

What is DFTQC?

The Department of Food Technology and Quality Control (DFTQC) is one of three departments under Nepal's Ministry of Agriculture and Livestock Development. Established in 1961, DFTQC operates from its central office at Babarmahal, Kathmandu, with provincial field offices and laboratories across the country.

Key Functions of DFTQC

  • Standards, Inspections & Enforcement: Market checks, facility inspections, sample collection, and legal action against non-compliant businesses
  • Laboratory Testing: Through a nationwide lab network and official Laboratory Information Management System (LIMS)
  • Licensing & Registration: Issuing food business licenses and product registration certificates
  • Trade Interface: Functions as Nepal's National Codex Contact Point and WTO-SPS Enquiry Point for international food trade and safety coordination
  • Policy Implementation: Enforcing food safety regulations and quality standards

Food licensing in Nepal is governed by the following laws and regulations:

LegislationYearKey Provisions
Food Hygiene and Quality Act2081 (2024)Primary law governing food safety and quality (effective May 5, 2024), replacing Food Act 2023 (1966)
Food Rules2027 (1970)Detailed guidelines for implementing food regulations
Food Regulation Directives2075 (2018)Operational and technical standards for food businesses
Quality Standards2080 (2023)Binding standards for food and feed products published by DFTQC
Industrial Trans-Fat Rule2024Legal cap on industrial trans-fatty acids in edible oils and processed foods

These laws prohibit food adulteration, misbranding, and unsafe production practices. Non-compliance can result in penalties including fines, product seizure, license suspension, or criminal prosecution.

Who Needs a DFTQC License?

A DFTQC license is mandatory for any business involved in food-related activities:

Business CategoryExamples
Food ManufacturingPackaged foods, processed foods, spices, bakery products, confectionery, snacks
Beverage ProductionSoft drinks, juices, bottled water, alcoholic beverages, energy drinks
Dairy ProcessingMilk, yogurt, cheese, butter, ghee, ice cream
Food ServiceRestaurants, cafes, catering companies, cloud kitchens, canteens
BakeriesBread, pastries, cakes, biscuits, confectioneries
Food Import/ExportImporting or exporting food products
Food DistributionWholesalers, distributors dealing in food products
Street Food VendorsMobile food carts, food stalls
Home-Based Food BusinessCommercial food production from home
Dietary SupplementsHealth supplements, nutraceuticals, functional foods
Important: Even small-scale food businesses, home-based food producers, and online food sellers require DFTQC approval. Operating without a license can result in business closure, product seizure, fines, and legal prosecution.

Types of DFTQC Licenses

Different types of food businesses require specific licenses:

  • Food Manufacturing License: For businesses producing packaged or processed food
  • Beverage Production License: For soft drinks, juices, alcoholic and non-alcoholic beverages
  • Restaurant/Food Service License: For dine-in establishments, cafes, catering
  • Bakery License: For bakeries and confectioneries
  • Dairy Processing License: For milk and dairy product processing
  • Food Import/Export License: For international food trade
  • Street Food Vendor License: For mobile food vendors and stalls
  • Bottled Water License: For filtered and mineral water production

Prerequisites for DFTQC License Application

Before applying for a DFTQC license, businesses must complete the following:

1. Business Registration

Register your business with the appropriate authority:

  • Office of Company Registrar (OCR): For private limited companies, public companies
  • Department of Cottage and Small Industries: For Gharelu Tatha Sana Udhyog (home-based/small industries)

Learn more about company registration in Nepal.

2. Tax Registration

  • Obtain Permanent Account Number (PAN) from Inland Revenue Department
  • Register for VAT if applicable (turnover threshold)

3. Local Registration

  • Register at local Ward Office or Municipality
  • Obtain Trade License from local government

4. Infrastructure Setup

Ensure your premises meet DFTQC requirements:

  • Hygienic food preparation and processing areas
  • Safe potable water supply
  • Proper drainage and waste disposal system
  • Adequate storage facilities with temperature control
  • Pest control measures
  • Proper lighting and ventilation
  • Separate areas for raw materials, processing, and finished products

Documents Required for DFTQC License

Prepare the following documents for your DFTQC license application:

DocumentPurposeNotes
Application FormOfficial DFTQC applicationAvailable through NeFFILS portal
Business Registration CertificateProof of legal business entityFrom OCR or Cottage Industries
PAN/VAT CertificateTax registration proofFrom Inland Revenue Department
Industry RegistrationFor manufacturing businessesIf applicable
Citizenship CertificateIdentity of owner/directorCopy of proprietor's citizenship
Facility Layout PlanInfrastructure documentationFloor plan showing all areas
GMP/GHP/SSOP DocumentationQuality management systemsGood Manufacturing Practices, Good Hygiene Practices, Standard Sanitation Operating Procedures
HACCP PlanFood safety managementRequired for higher-risk food categories
Water Test ReportWater quality verificationFrom approved laboratory
QC Personnel DetailsQuality control staff informationQualifications and training certificates
Equipment ListProduction machinery detailsList with specifications
Draft Product LabelsLabel review and approvalMust comply with labeling standards
Waste Management PlanEnvironmental complianceDisposal procedures
Product Recall PlanSafety preparednessProcedures for product recalls
Laboratory Test ReportsProduct safety verificationFrom DFTQC-approved laboratories
Lease AgreementPremises documentationIf business premises are rented

Step-by-Step DFTQC License Application Process

DFTQC has digitized the licensing process through the Nepal Food & Feed Industry Licensing System (NeFFILS):

Step 1: Complete Business Registration

Register your business with the Office of Company Registrar or Department of Cottage and Small Industries. Obtain PAN/VAT registration and local trade license.

Step 2: Prepare Infrastructure

Set up your facility according to DFTQC requirements. Implement GMP/GHP systems and prepare all required documentation.

Step 3: Create NeFFILS Account

Visit the NeFFILS portal and create an account. Select "New License" for first-time applicants or "Renewal" for existing license holders.

Step 4: Complete Online Application

Fill in all required information:

  • Company and facility details
  • Product scope and categories
  • Manufacturing processes
  • Quality control measures

Step 5: Upload Documents

Upload all required documents in the specified format:

  • Business registration certificate
  • PAN/VAT certificate
  • Facility layout plan
  • GMP/GHP/SSOP documentation
  • HACCP plan (if applicable)
  • Water test report
  • QC personnel details
  • Equipment list
  • Draft product labels
  • Waste management and recall plans

Step 6: Pay Application Fees

Pay the required fees through the NeFFILS portal. Fees vary based on business type and scale.

Step 7: Initial Screening

DFTQC officials review the application and documents for completeness and accuracy. Incomplete applications will be returned for corrections.

Step 8: On-Site Inspection

DFTQC inspectors visit your premises to assess:

  • Compliance with food safety standards
  • Hygiene practices and sanitation
  • Production processes
  • Storage conditions
  • Quality control measures
  • Staff training and hygiene

Step 9: Laboratory Testing

Product samples may be collected for laboratory testing to verify safety and quality compliance. Testing includes microbiological, chemical, and contaminant analysis.

Step 10: Evaluation and Approval

Based on inspection results and laboratory tests, DFTQC evaluates the application. If all requirements are met, the license is approved.

Step 11: License Issuance

Upon approval, DFTQC issues the food business license. Track your application status online through NeFFILS.

Government Fees for DFTQC License

DFTQC license fees vary based on business type and scale:

Fee CategoryApproximate Cost (NPR)Notes
Application Fee1,000 – 5,000Varies by business type
Inspection Fee1,000 – 5,000For on-site inspection
Laboratory Testing Fee2,000 – 10,000Depends on tests required
License Issuance Fee2,000 – 10,000Based on business size and type
Annual Renewal Fee3,000 – 10,000Lower than initial license fee
Note: Fees are subject to change as per DFTQC directives. Verify current fees at the DFTQC office or NeFFILS portal before applying.

Timeline for DFTQC License Process

StageEstimated Duration
Application Submission & Initial Review1-2 weeks
Document Verification1-2 weeks
Inspection Scheduling & Execution2-3 weeks
Laboratory Testing1-3 weeks
Final Evaluation & Approval1-2 weeks
Total Estimated Time6-12 weeks

Processing time can vary based on application completeness, product complexity, and DFTQC workload. Complete and accurate documentation significantly expedites the process.

Quality and Food Safety Standards

To obtain and maintain a DFTQC license, businesses must comply with the following standards:

Good Manufacturing Practices (GMP)

  • Proper facility design and layout
  • Equipment maintenance and calibration
  • Personnel hygiene and training
  • Production and process controls
  • Quality control procedures

Good Hygiene Practices (GHP)

  • Personal hygiene of food handlers
  • Cleaning and sanitation procedures
  • Pest control measures
  • Waste management
  • Water quality management

HACCP (Hazard Analysis Critical Control Points)

Required for higher-risk food categories, HACCP involves:

  • Hazard identification and analysis
  • Critical control point determination
  • Critical limits establishment
  • Monitoring procedures
  • Corrective actions
  • Verification and documentation

Labeling Requirements

Product labels must comply with DFTQC standards and include:

  • Product name
  • Complete ingredients list
  • Net weight/volume
  • Batch/lot number
  • Manufacturing and expiry dates
  • Nutritional information
  • Manufacturer details and address
  • DFTQC registration number
  • Storage instructions
  • Text in Nepali and English

Food Product Registration

In addition to the business license, individual food products must be registered with DFTQC:

Product Registration Process

  1. Application Submission: File separate application for each product
  2. Product Information: Provide detailed specifications, ingredients, manufacturing process
  3. Label Review: Submit product labels for DFTQC approval
  4. Sample Submission: Provide product samples for laboratory testing
  5. Fee Payment: Pay product registration fees
  6. Approval: Receive registration certificate with DFTQC number
Important: The DFTQC license covers the business, while product registration covers individual products. Each new product requires separate registration. The DFTQC number on your product indicates compliance with Nepal's food safety standards.

Product Registration Fees and Timeline

  • Registration Fee: NPR 5,000 – 15,000 per product (varies by complexity)
  • Lab Testing Fee: NPR 2,000 – 10,000 per product
  • Timeline: 15-30 working days
  • Total Cost: NPR 35,000 – 50,000 approximately (including all fees)

DFTQC License Validity and Renewal

License Validity

The DFTQC license is typically valid for one year from the date of issuance. License holders must renew annually to continue operations.

Renewal Process

  1. Initiate renewal at least 35 days before expiry
  2. Submit renewal application through NeFFILS
  3. Provide updated documents (recent lab test reports, production records)
  4. Pay renewal fee
  5. Undergo renewal inspection if required
  6. Receive renewed license

Late renewal may result in operational disruptions, penalties, or requirement to apply as new applicant.

Post-License Compliance Requirements

DFTQC license holders must maintain ongoing compliance:

  • Regular Reporting: Submit periodic reports on production, quality control, and operational changes
  • Record Keeping: Maintain detailed records of production processes, batch records, quality control measures, and product traceability
  • Periodic Inspections: Allow DFTQC officials to conduct routine and surprise inspections
  • Product Testing: Conduct regular laboratory testing to ensure consistent quality and safety
  • Staff Training: Regularly train staff on food safety and hygiene practices
  • Labeling Compliance: Ensure all product labels remain compliant with current regulations
  • Incident Reporting: Promptly report any food safety incidents or quality issues to DFTQC
  • Change Notification: Inform DFTQC of any significant changes in products, processes, or operations
Non-Compliance Consequences: Failure to comply can result in fines, product recalls, license suspension, or license revocation. DFTQC conducts regular market surveillance and may take legal action against non-compliant businesses.

Special Categories and Requirements

For Food Importers

DFTQC regulates food imports through:

  • Document checks at customs points
  • Verification of foreign compliance certificates
  • Sampling and testing (if required)
  • Nepal-compliant labeling requirements
  • Import clearance procedures
  • Traceability maintenance

Additional documents for imports:

  • Certificate of origin from manufacturing country
  • Free sale certificate from country of manufacture
  • Health certificate (for certain products)
  • Lab test reports from accredited laboratories

For Restaurants and Food Service

  • Hygienic kitchen layout and design
  • Safe water supply with regular testing
  • Proper food storage and temperature control
  • Pest control measures
  • Staff health certificates and hygiene training
  • Compliance with municipal advisories
  • Waste disposal arrangements

For Dietary Supplements

DFTQC issues specific guidelines for dietary supplements and maintains a register of approved products. Additional documentation and testing may be required.

DFTQC Offices and Contact Information

Central Office

Regional Offices

DFTQC operates provincial field offices and laboratories in:

  • Biratnagar
  • Janakpur
  • Hetauda
  • Bhairahawa
  • Nepalganj
  • Dhangadhi
  • Pokhara
  • Surkhet

Market Surveillance

DFTQC conducts routine and targeted inspections of food businesses, including deployment of mobile food lab vans for on-site testing, especially during festival seasons and in high-demand areas like the Kathmandu Valley.

Compliance Checklists

For Manufacturers/Processors

  • ☐ Company registration + PAN/VAT completed
  • ☐ Hygienic premises (drainage, pest control, potable water, waste disposal)
  • ☐ GMP/GHP/SSOP systems implemented
  • ☐ HACCP for higher-risk categories
  • ☐ Applied via NeFFILS
  • ☐ Inspection completed
  • ☐ License obtained
  • ☐ Technical file prepared (product specs, stability data, CoAs, batch records, labels)
  • ☐ Complaint and recall logs maintained

For Importers/Distributors

  • ☐ Foreign compliance verified
  • ☐ Product documentation obtained
  • ☐ Nepal-compliant labels prepared
  • ☐ DFTQC import clearance followed
  • ☐ Traceability maintained
  • ☐ Ready for recalls/advisories

For Restaurants/Cloud Kitchens

  • ☐ Hygienic layout established
  • ☐ Safe water supply verified
  • ☐ Pest control implemented
  • ☐ Staff health and hygiene training completed
  • ☐ Municipal registration obtained
  • ☐ Ready for inspections

Navigating the DFTQC licensing process can be complex. Our legal team can assist with business registration, license applications, compliance documentation, and regulatory matters. Contact us for professional guidance on food business licensing in Nepal.

Frequently Asked Questions

The Department of Food Technology and Quality Control (DFTQC) is Nepal's central regulatory authority for food safety, hygiene, and quality control. Key points:

  • Operates under Ministry of Agriculture and Livestock Development
  • Established in 1961, headquartered at Babarmahal, Kathmandu
  • Issues food business licenses and product registration certificates
  • Conducts inspections and laboratory testing
  • Functions as Nepal's National Codex Contact Point and WTO-SPS Enquiry Point
  • Enforces Food Hygiene and Quality Act, 2081 (2024)

DFTQC licenses are required for all food and beverage products manufactured, processed, packaged, imported, or sold in Nepal:

  • Packaged foods and processed foods
  • Beverages (soft drinks, juices, bottled water, alcoholic beverages)
  • Dairy products (milk, yogurt, cheese, ghee)
  • Bakery products and confectionery
  • Meat and meat products
  • Spices and condiments
  • Dietary supplements and health foods
  • Food additives Even small-scale food businesses and home-based food producers require DFTQC approval.

The DFTQC license is typically valid for one year from the date of issuance:

  • Annual renewal is mandatory to continue operations
  • Renewal application should be submitted at least 35 days before expiry
  • Renewal requires updated documents, recent lab test reports, and renewal fee
  • Late renewal may result in operational disruptions or penalties
  • Product registration may be valid for 1-5 years depending on product category

The DFTQC license process involves:

  • Step 1: Register business with Company Registrar or Cottage Industries
  • Step 2: Obtain PAN/VAT registration from Inland Revenue Department
  • Step 3: Complete local ward/municipality registration
  • Step 4: Prepare facility and documentation per DFTQC requirements
  • Step 5: Create NeFFILS account and submit online application
  • Step 6: Upload required documents and pay fees
  • Step 7: Undergo on-site inspection
  • Step 8: Complete laboratory testing of products
  • Step 9: Receive approval and license issuance

Required documents include:

  • Business registration certificate
  • PAN/VAT certificate
  • Industry registration (if applicable)
  • Citizenship certificate of owner
  • Facility layout plan
  • GMP/GHP/SSOP documentation
  • HACCP plan (for higher-risk products)
  • Water test report from approved laboratory
  • QC personnel qualifications
  • Equipment list with specifications
  • Draft product labels
  • Waste management and product recall plans
  • Laboratory test reports

The typical timeline is 6-12 weeks:

  • Application submission and initial review: 1-2 weeks
  • Document verification: 1-2 weeks
  • Inspection scheduling and execution: 2-3 weeks
  • Laboratory testing: 1-3 weeks
  • Final evaluation and approval: 1-2 weeks Processing time varies based on application completeness, product complexity, and DFTQC workload. Complete documentation expedites the process.

DFTQC fees vary by business type and scale:

  • Application fee: NPR 1,000 – 5,000
  • Inspection fee: NPR 1,000 – 5,000
  • Laboratory testing: NPR 2,000 – 10,000 per product
  • License issuance: NPR 2,000 – 10,000
  • Annual renewal: NPR 3,000 – 10,000
  • Product registration: NPR 5,000 – 15,000 per product Fees are subject to change—verify current fees at DFTQC office or NeFFILS portal.

Yes, laboratory testing is mandatory:

  • Initial product testing required during license application
  • Testing conducted at DFTQC laboratories or approved private laboratories
  • Tests include microbiological analysis, chemical analysis, contaminant levels
  • Ongoing periodic testing required to maintain compliance
  • Test frequency depends on product category and risk assessment
  • Products must meet safety and quality standards defined by DFTQC

DFTQC conducts thorough inspections:

  • On-site inspection of premises, production facilities, storage areas
  • Hygiene assessment of sanitation practices and pest control
  • Process verification of manufacturing procedures
  • Documentation review of quality control records
  • Staff interview on food safety practices
  • Sample collection for laboratory testing Post-license, DFTQC may conduct surprise inspections and market surveillance to ensure ongoing compliance.

DFTQC licenses are generally non-transferable:

  • Licenses are issued to specific businesses based on their unique operations, facilities, and products
  • Change in ownership typically requires new license application
  • Significant structural changes to business may require reapplication
  • Minor changes (address within same area, product variations) may only require notification Consult with DFTQC officials for guidance on specific situations.

They serve different purposes:

  • DFTQC License: Authorizes the business to operate in food production/processing/service. Covers the company and its facilities.
  • Product Registration: Approves individual food products for sale in Nepal. Each product requires separate registration.
  • Both are required—you need a business license AND product registration for each product
  • License is annual; product registration validity varies (1-5 years)
  • Products receive a DFTQC number after registration

Yes, homemade food products can be registered:

  • Must meet same safety and quality standards as commercial products
  • Business must be registered as Gharelu Tatha Sana Udhyog (cottage industry)
  • Production area must meet hygiene requirements
  • Products require laboratory testing
  • Labels must comply with DFTQC standards
  • May have specific guidelines for small-scale or cottage industry products Consult DFTQC for specific requirements for home-based food businesses.

License holders must maintain ongoing compliance:

  • Annual license renewal with updated documentation
  • Record keeping of production processes, batch records, quality control
  • Periodic inspections by DFTQC officials (routine and surprise)
  • Regular product testing to ensure consistent quality
  • Staff training on food safety and hygiene
  • Labeling compliance with current regulations
  • Incident reporting of any food safety issues
  • Change notification for any operational changes Non-compliance can result in fines, product recalls, or license revocation.

NeFFILS (Nepal Food & Feed Industry Licensing System) is DFTQC's digital licensing portal:

  • Online application for new licenses and renewals
  • Create account on the NeFFILS portal
  • Select "New License" or "Renewal" option
  • Fill company details, facility information, product scope
  • Upload required documents in specified format
  • Pay fees through the portal
  • Track application status online
  • Receive digital notifications on approval This system streamlines the licensing process and reduces paperwork.

Operating without DFTQC license has serious consequences:

  • Business closure and shutdown orders
  • Seizure of food products and equipment
  • Fines and penalties as per Food Hygiene and Quality Act, 2081
  • Legal prosecution and court proceedings
  • Criminal charges for serious violations
  • Difficulty obtaining license in future
  • Reputational damage and loss of consumer trust All commercial food operations, including small-scale and home-based businesses, require proper licensing.