Odisha Factory License : Fees, Documents & Procedure

Updated on August 20, 2024 01:19:46 PM

A factory license registration is a permit granted to a manufacturer by the department of factories and boilers. The goal of issuing a factory license is to regulate the working and safety conditions of employees in factories.

If you are a startup or small factory owner entering the manufacturing industry, you are legally obligated to comply with the Factory Act of 1948 and obtain a mandatory permit to begin manufacturing.

Professional Utilities can help you obtain a Factory License in Odisha without any difficulty. Our team of experts will walk you through every step of the licensing process, ensuring that your application is processed smoothly and easily.

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What is Factory License Registration In Odisha?

Factory License Registration Introduction

Factory registration in Odisha is a license that permits factories to operate in the state. The goal of factory registration is to guarantee that factories meet specific safety and working conditions standards for their employees. Factory registration is a critical authorization that is granted by local authorities based on the factory's eligibility criteria under the Factories Act. Once the authorization is granted, factories can begin manufacturing their respective products.

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Eligibility For Obtaining Factory License In Odisha

Factory license registration criteria are classified under the following categories.

  • Factories with 10 or more workers, works with power.
  • Factories with 20 or more workers that do not have access to power.
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Documents Required For Factory License In Odisha

Factory License Registration Documents

These are the List of Documents Required to attach during the filling for Factory License Registration in Odisha.

  • Form No-2 or Combined application form for establishment of industries in Form 1AA
  • Construction completion report from management as per approved plan
  • Resolution of Director/partners nominating one to act as Occupier
  • Original copy of Stability Certificate issued by a recognized competent person
  • Safety & Health Policies for workers
  • Address proof of the factory
  • Address proof of director or authorized person
  • NOC from local authorities
  • Consent from PCB Assam
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Factory License Registration

Process For Factory License Registration is as Follows : Applicants are required to

Step 1: Approval for factory building plan:

Before gathering the requisite documents for the set-up of a factory, approval for a factory building license from the concerned authority is essential. To approve your factory establishment, you must draft your factory building plan according to the regulations and standards.

Step 2: Documentation:

Upon receiving the duly approved factory building plan, your next step is to gather all the requisite documents according to the type of organization you want to establish. For this, an applicant should make sure that all the information, you provide in the document is complete and accurate without filling in any discrepancies.

Step 3: Payment of fees for application:

After submitting all the necessary documents, you have to make a payment for the application you’ve filled out as per the guidelines provided by the relevant authority. You have to ensure that you’ve successfully received proof that you’ve paid for the concerned application.

Step 4: Verification of documents:

The concerned authority will verify the originality, accuracy, and information of the documents upon receiving the payment for the application. The authority would rather review the application and the documents required.

Step 5: Inspection by the Chief Inspector of Factories:

The Chief Inspector shall schedule the date for visiting the factory premises. You may need to create transparency before investigators can verify compliance and safety standards. After investigating, the inspector will make a report on your factory based on their observations and true findings.

Step 6: Issuance of certificate:

Based on the remarks made in the report by the investigators, the authorities will decide whether your factory would be a better fit for the license. The applicant would be notified of the decision if the permit had been issued. Otherwise, the applicant needs to take corrective measures and reapply.

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What is the Fee for Factory Registration In Odisha?

A factory license can be obtained for a low price of INR 49,999. However, applicants must also pay a government fee for certification. The government fee for factory license registration in Odisha is subject to eligibility criteria determined by the local authorities.

  • Consent from RPCB (Rajasthan Pollution Control Board)
  • Risk Analysis Report is required
  • Site Plan is required for approval
  • Details of workers working in the factory
  • NOC from local bodies such as Panchayat
  • Flowchart & details of manufacturing process
  • Assessment Report on Environmental Impact
  • Details of rainwater harvesting arrangements
  • Copies of machinery layout with their power capacity
  • NOC from the Divisional Forest Officer in case the factory is using produce from the forest
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How To Renew Factory License In Odisha?

Factory licenses are valid for one to five years. Owners must apply for renewal before the due date to avoid production disruptions.

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Compliances After Factory License Registration In Odisha

The following are the statutory compliances that the factory owner must meet:

  • Health benefits
  • Safety measures
  • Welfare programs
  • Employment of minors
  • Working hours for adults
  • Annual leave and wages
Factory License Registration Compliance
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Benefits of Factory License Registration In Odisha

In Odisha, a Factory License is a legal requirement under the Factories Act, 1948, for establishments engaged in manufacturing processes and certain other specified activities. Obtaining a Factory License offers several benefits to both the government and the business owner:

  • Legal Compliance: Obtaining a Factory License ensures that the business complies with the legal requirements outlined in the Factories Act. This helps in avoiding legal issues and penalties for non-compliance.
  • Safety and Health Standards: The Factories Act mandates certain safety and health standards for factories. Obtaining a Factory License ensures that the business adheres to these standards, providing a safe and healthy working environment for employees.
  • Regulatory Oversight: The issuance of a Factory License involves inspection and approval from the Factory Inspectorate. This regulatory oversight helps in maintaining and improving workplace conditions.
  • Employee Welfare: The Factories Act includes provisions related to working hours, leave policies, and welfare amenities for workers. By obtaining a Factory License, a business demonstrates its commitment to the welfare of its employees.
  • Insurance Coverage: Some insurance companies may require a valid Factory License as a prerequisite for providing insurance coverage to the factory. This can be crucial in mitigating financial risks associated with accidents or other unforeseen events.
  • Government Monitoring: A Factory License facilitates government monitoring of industrial activities. This is essential for planning and implementing policies related to industrial development, labor welfare, and environmental protection.
  • Access to Government Incentives: In some cases, having a valid Factory License may make the business eligible for government incentives, subsidies, or support programs aimed at promoting industrial growth and compliance with regulations.
  • Credibility: Possessing a Factory License enhances the credibility of the business. It signals to customers, suppliers, and other stakeholders that the business operates within the legal framework and is committed to maintaining high standards.
  • Environmental Compliance: Factories are often required to adhere to environmental norms. The Factory License process may include checks to ensure that the industrial activities do not adversely impact the environment, promoting sustainable and responsible business practices.
  • Facilitates Expansion: When a business plans to expand its manufacturing operations, having a valid Factory License is crucial. It streamlines the process of obtaining necessary approvals and permits for expansion.

It's important for businesses to be aware of the specific requirements and conditions associated with Factory Licenses in Odisha, as there are variations in regulations in different states.

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Professional Utilities : Your Registration Partner

Professional Utilities understands the importance of getting timely authorization from the authorities to start your business as soon as possible. Our team of experts can help you get your factory license without any trouble or delay.

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Conclusion

Factory license is a vital certification required by manufacturers in Odisha. The process takes around 30 working days to complete to get authorization from MCD. The factory license serves as a binding force that regulates the working and safety of factory workers. As a result, it is mandatory for owners to register their factory with the authorities at least 15 days before starting business.

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Factory license registration In Other States

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Why Professional Utilities?

At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.

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Frequently Asked Questions

Is factory license mandatory in Odisha?

The Factory License is an obligatory certification in Odisha and is required by all the manufacturing units operating in the state. The factory registration certification is issued by the local authorities in their respective states

How to get a Factory License in Odisha?

You can get your factory license registration with us in just a few clicks

  • Contact us
  • Provide Details & Documents
  • Issuance of Factory Registration
What are the fees for factory license certification in Odisha?

The Professional Fees for Factory License Registration with Professional Utilities starts from INR 49,999/- only.

Renewal and Validity of Factory License in Odisha?

The factory license is valid up to the time frame of 1-5 years. Factory Owners are required to renew their license prior to their due date.

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