Procedure for Loan Licence to Manufacture Cosmetics for Sale and Distribution

Deepti Mudgal

Deepti Mudgal

Published on: Mar 27, 2026

Shatakshi Sharma

Updated on: Mar 27, 2026

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INTRODUCTION

A loan license is required to manufacture cosmetics for sale and distribution in India because the law requires that every manufacturing site must be licensed, but it also provides a pathway for those who do not own a factory to still produce goods using an existing, compliant facility under the Cosmetics Rules, 2020.

APPLICABLE PROVISIONS

Rule: 23,25,26 of Cosmetic Rules, 2020

WHO CAN APPLY?

• Any person or firm intending to manufacture cosmetics through a licensed manufacturing facility
• The applicant shall ensure that manufacturing is carried out under the supervision of competent technical staff having adequate knowledge and experience in cosmetics manufacturing

DOCUMENTS REQUIRED

• Self-declaration in Form COS- 7 for compliance with Good Manufacturing Practices as specified in Schedule M-II
• Documents in respect of the ownership or occupation on rental or other basis of the premises, specified in the application for license or in the license granted
• Constitution of the firm
• Any other document that may be required for verifying the correctness of the statements made by the applicant or the licensee, while applying for or after obtaining the license as the case may be.
• Copy of a valid manufacturing licence of the manufacturer
• Agreement between loan licensee and manufacturer
• Details of technical staff

PROCEDURE

Applicant shall apply for licence to Manufacture Cosmetics for Sale and Distribution in Form COS- 6 on the online portal; If the online portal is not operational, applicant can submit a offline application in Form COS- 6 along with the prescribed fee and required documents to the State Licensing Authority, and then upon satisfaction and after inspection of the manufacturing site, a receipt will issued through Form COS- 10, the licensing authority will issue the license through Form COS- 9.

VALIDITY & RENEWAL

The license is perpetual, subject to payment of retention fee every five (5) years, requiring a renewal to keep it active, with late fees for delayed payment.