Introduction to DFTQC Licensing in Nepal
The Department of Food Technology and Quality Control (DFTQC) is the statutory authority responsible for regulating food and animal feed safety in Nepal. DFTQC functions under the Ministry of Agriculture and Livestock Development and exercises powers conferred by the Food Act, 1966 (2023) and its subsidiary regulations. Any person or entity involved in food processing, animal feed production, storage, packaging, distribution, or import must obtain a DFTQC license before commencing commercial operations. DFTQC License Application Process in Nepal.
The licensing process ensures compliance with national food safety standards, protects public and animal health, and regulates quality control across the supply chain. Operating without a valid DFTQC license constitutes a legal offense and exposes the business to penalties, seizure of products, and closure orders. Medha Law and Partners advises clients across food, feed, dairy, meat, and agro-processing sectors on full DFTQC compliance.
Legal Framework Governing DFTQC Licensing
DFTQC licensing is governed primarily by the Food Act, 1966 (2023). Section 3 of the Act prohibits the production, sale, or distribution of food and feed that does not meet prescribed standards. Section 4 empowers DFTQC to regulate food industries through licensing, inspection, testing, and enforcement.
Additional regulatory authority arises from:
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Food Rules issued under the Food Act
These laws collectively require food and feed businesses to maintain hygiene, labeling accuracy, quality assurance, and environmental compliance. DFTQC acts as the technical regulator ensuring implementation of statutory food safety obligations.
Businesses Required to Obtain a DFTQC License
DFTQC licensing applies to all commercial food and feed businesses, regardless of scale, when activities involve processing or distribution. Licensing is mandatory for:
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Animal feed production companies
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Poultry feed and cattle feed manufacturers
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Dairy processing units
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Meat and fish processing plants
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Food packaging and bottling industries
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Cold storage and food warehouses
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Importers of food and feed products
Small-scale operations may receive simplified scrutiny, but exemption from licensing is not granted solely on the basis of size. Any commercial handling of food or feed requires DFTQC authorization.
Pre-Licensing Requirements Before Applying to DFTQC
Applicants must complete foundational legal registrations before approaching DFTQC. DFTQC does not process applications from unregistered or informal businesses.
Pre-licensing requirements include:
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Company registration under the Company Act, 2006 (2063) or firm registration
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Industrial registration under the Industrial Enterprises Act, 2020 where applicable
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PAN registration under the Income Tax Act, 2002
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Land ownership or registered lease documentation
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Local government recommendation
Failure to complete these steps results in application rejection.
DFTQC License Application Process in Nepal
The DFTQC license application process follows a structured administrative and technical review system. The applicant must submit a formal request along with prescribed documentation.
Step-by-Step DFTQC Application Process
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Submission of application to DFTQC office
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Preliminary document verification
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Scheduling of physical inspection
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Collection of food or feed samples
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Laboratory testing and analysis
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Issuance of compliance notice (if required)
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Grant of DFTQC license
DFTQC evaluates sanitation standards, machinery, storage facilities, waste management systems, and quality control protocols during this process.
Documents Required for DFTQC License Application
Applicants must submit complete and accurate documentation. Incomplete submissions delay processing.
Required documents include:
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Prescribed DFTQC application form
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Company or firm registration certificate
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Memorandum and Articles of Association
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PAN certificate
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Industrial registration certificate
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Land ownership or lease deed
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Factory layout and process flow chart
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List of machinery and equipment
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Product formulation and specifications
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Local government recommendation letter
DFTQC may request additional technical documents based on product type.
DFTQC Inspection and Compliance Verification
After application submission, DFTQC conducts a physical inspection of the production or processing facility. Inspectors verify hygiene, equipment safety, worker sanitation, pest control, ventilation, waste disposal, and storage practices.
For animal feed businesses, inspectors review nutritional composition, ingredient sourcing, and contamination controls. Sample products may be collected for laboratory testing. If deficiencies are found, DFTQC issues a corrective notice requiring rectification within a specified period.
Laboratory Testing and Product Approval
DFTQC laboratories test food and feed samples for contamination, nutritional accuracy, chemical residues, and compliance with national standards. Products that fail laboratory testing are rejected.
Approval is granted only after test results confirm compliance. Continued testing may occur after licensing to ensure ongoing compliance.
Issuance of DFTQC License
Upon satisfactory inspection and testing, DFTQC issues a license permitting operation. The license must be displayed at the business premises. Licensing does not override other regulatory obligations such as tax compliance or environmental approvals.
Validity, Renewal, and Amendment of DFTQC License
DFTQC licenses are issued for a specified period and must be renewed before expiry. Renewal requires continued compliance and may involve re-inspection.
Amendments are required for:
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Change in location
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Change in product line
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Expansion of capacity
Operating with an expired or unamended license constitutes a violation.
Penalties for Non-Compliance
Under the Food Act, 1966, DFTQC may impose:
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Monetary fines
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Seizure and destruction of products
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Suspension of operations
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Cancellation of license
Repeat violations attract stricter penalties.
Role of Legal Advisors in DFTQC Licensing
Legal advisors assist businesses with document preparation, regulatory coordination, compliance strategy, and response to inspection notices. Professional support reduces delays and legal exposure.
Medha Law and Partners provides end-to-end advisory services for DFTQC licensing and food law compliance in Nepal.
Frequently Asked Questions (FAQs)
Is DFTQC license mandatory for animal feed production in Nepal?
Yes. Animal feed production is regulated under the Food Act, 1966. A DFTQC license is mandatory before manufacturing, packaging, or selling animal feed products commercially.
How long does the DFTQC license process take?
Processing time depends on documentation completeness and inspection scheduling.
Can DFTQC license be cancelled?
Yes. DFTQC may cancel licenses for false information, repeated violations, or failure to comply with food safety standards.