How To Start A Cosmetic Business In India?

Steps To Start Your Own Cosmetic Manufacturing Company In India – The above list of items and categories define different requirements for manufacturing of each. The liquid, solid and semi-liquid etc preparation requires a different set of machines. This differs with the state to state needs. We have summed up the procedure for you to follow:

1. Start by choosing a unique name for your company. It should be attractive and eye catching.
2. A location for company premises and factory set up should be ready.
3. Register on the GST network. You can apply it now.
4. Register your company with the Registrar of Companies under Companies Act, 1956 or 2013.
5. Select and finalize the brand name.
6. Meet the requirements, documents and fulfilment for a cosmetic license in India. Compliances are made according to Schedule M-II of Drugs and Cosmetic Act, 1945. (Discussed below)
7. Once you get the cosmetic manufacturing license number, you can start your company workings.

How big is the cosmetic market in India?

Revenue in the Cosmetics segment amounts to US$6.27bn in 2023. The market is expected to grow annually by 2.87% (CAGR 2023-2027).

Where can I import cosmetics in India?

Procedure to Import Cosmetic Products in India – Under the Ministry of Health and Family Welfare of India, the Central Drug Standards Controller (CDSC) is responsible for registering all imported cosmetics. So, the importer needs to make an application for CDSCO Registration to CDSC.

Is FDA approval required for cosmetics in India?

1. Does FDA regulate cosmetics? – Yes. FDA regulates cosmetics under the Federal Food, Drug and Cosmetic Act (FD&C Act), Under this law, cosmetics must not be adulterated or misbranded. For example, they must be safe for consumers under labeled or customary conditions of use, and they must be properly labeled.

• Any color additives they contain must be approved for the intended use, and some must be from batches certified in FDA’s own labs.
• Packaging and labeling must not be deceptive.
• If you manufacture or market cosmetics, you have a legal responsibility for the safety and labeling of your products.
• If your cosmetics are marketed to consumers on a retail basis, such as in stores, or by mail order (including online), or by personal sales representatives (for example, door-to-door sales), they also must meet ingredient labeling requirements under the Fair Packaging and Labeling Act.

To learn more, see ” Resources for You: Industry ” and ” Cosmetics: Guidance and Regulations,” where you will find overviews of the laws, links to the laws and regulations themselves, and more.

Can we import cosmetics in India?

B: GUIDELINES / CLARIFICATIONS: –

1. All cosmetic products that are imported for sale in India need to be registered with the licensing authority as defined under Rule 21 of Drugs & Cosmetics Rules, 1945.
2. An application for registration in Form-42, along with all requisite documents, shall be submitted to Drugs Controller General (I), CDSCO, FDA Bhavan, Kotla Road, New Delhi 110002.
3. Who can apply for Registration of Import of Cosmetics / who can be an importer:
   1. The Manufacturer himself having registered office in India.
   2. The Authorised Agent of the Manufacturer
   3. The Subsidiary of the Manufacturer
   4. Any other importer
4. A “Brand” for the purpose of these rules will mean each category of cosmetic products as mentioned in Column 3 of the list enclosed at Annexure.
5. A “Brand” will include all variants of a product e.g. colour, shades, pack sizes, etc.
6. A “Brand” will not mean the trade name of any product of a manufacturer or the manufacturer himself / itself.
7. A “Manufacturer” means a person or entity in a Country other than India who owns the trade name of the brand of the cosmetic product for which registration has been applied for and who / which manufactures such product at his / its own manufacturing site or at a site owned by another manufacturer in the trade name of his / its brand.
8. An “Authorized Agent” means a person or entity in India authorized by the manufacturer. The authorized agent will be responsible for the business activities of the manufacturer in India including compliance to the provisions of the Act in all respects.
9. “Subsidiary” means an entity in India owned by the manufacturer.
10. “Any other importer” means any person or entity purporting to import cosmetic products other than the manufacturer, its authorised agent and its subsidiary.
11. An application for issue of a registration certificate will be accompanied by the specified fee along with the information and undertaking in Schedule D-III.
12. A single application may be made in Form 42 for any number of brands manufactured at one or more locations by a single manufacturer.
13. A single registration certificate in Form 43 may be issued to a particular applicant in respect of import of any number of brands manufactured at one or more locations by a single manufacturer.
14. Each application will be accompanied by a fee of USD 250 or its equivalent Indian rupees for each Brand viz. each category of cosmetics as mentioned in Column 3 of the list enclosed at Annexure.
15. If the applicant seeks to import the same brand belonging to different manufacturers, he needs to submit separate application for each manufacturer and has to pay separate fees therefor.
16. In any existing valid Registration Certificate, if the applicant wants to add any further brand or product of already registered category as mentioned in Column 3 of the Annexure for the same manufacturer, separate application will need to be submitted by the importer. But no fee will be charged. In such cases additional product permission will be endorsed to the already approved category in a given Registration Certificate.
17. Power of Attorney – The authorization by a manufacturer to his authorized agent in India will be documented by a Power of Attorney. The power of attorney shall be
    1. executed and authenticated either in India before First Class Magistrate, or in the country of origin of the manufacturer before such an equivalent authority.

    or

    2. attested by the Indian Embassy of the said Country.

    or

    3. Apostille from Hague convention member countries is also acceptable.

The original of the same will be furnished along with the application for Registration Certificate. While submitting the Power of Attorney, the following points should be kept in mind: –

• It should be co-jointly signed and stamped by the manufacturer as well as the Authorised agent indicating the name & designation of the authorized signatories.
• It should clearly list the names of all cosmetic products along with their trade names, Brand as per Column 2 of the Annexure and variants (e.g. colour, shades, pack sizes, etc). Further, the name of the cosmetics should correlate with those mentioned in the Form 42.
• The names and addresses of the manufacturer as well as the Authorised agent stated in the Power of Attorney should correlate with the Form 42.
• It should be valid for the period of said Registration Certificate.

In case of any change in product specification, ingredients, variant, etc after grant of Registration Certificate, the applicant will inform about those changes to the Licensing Authority by submitting revised Schedule D III at least 30 days before the date of import.

The label of imported cosmetics will bear the registration certificate number of the brand and name and address of the registration certificate holder.

Stickering of labels containing the registration certificate number of the brand and the name and address of the registration certificate holder may be allowed to be carried out after import at a suitable declared place approved by the Licensing Authority on an application made to the Licensing Authority.

The Label should also bear the name and address of the manufacturer and name of the country where the product has been manufactured. If the product has not been manufactured in a factory owned by the manufacturer, the name and address of the actual manufacturer or the name of the country where it has actually been manufactured as “Made in,(name of country)” should be there on the label.

The following documents are required to be submitted for grant of registration certificate:

1. Covering letter by the applicant
2. Form 42
3. Treasury Challan
4. Power of Attorney
5. Schedule D III
6. Original or a copy of the Label.
7. Free Sale Certificate (FSC)/Marketing Authorization letter/Manufacturing License, if any
8. Product specification and testing protocol.
9. List of countries where Market Authorization or import permission or registration was granted.
10. Pack insert, if any
11. Soft copies of the information about the brands, products and manufacturer

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The applicant will provide the translated English version of any document which is in any other foreign language from qualified translator.

In case where there is no provision for license to manufacture cosmetics in the country of origin, the importer will provide a declaration on an affidavit to that effect.

Cosmetic products which are imported into India as bulk for repackaging for 100% export to other countries will not require registration certificate. In such cases the importer has to obtain necessary permission from CDSCO HQ. Importer must give written undertaking that these products are not released for domestic sale.

For Import of cosmetics for R&D purposes like packaging trials, consumer studies, shelf life studies and transport studies, registration certificate is not required. In such cases the importer has to obtain necessary permission from CDSCO HQ. Importer must give written undertaking that these products are not released for domestic sale.

ANNEXURE

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Brands of Cosmetic Products Column-1 Column-2 Column-3 1.Skin products 1. Skin care products 1.Face care products other than face mask 2.Face mask 3.Eye contour products 4.Lip care products 5.Hand care products 6.Foot care products 7.Body care products 8.External intimate care products 9.Chemical exfoliation products 10 Mechanical exfoliation products 11.Skin lightening products 12.Other skin care products 2.Skin cleansing products 1.Soap products 2.Bath / shower products 3.Make-up remover products 4.External Intimate hygiene products 5.Other skin cleansing products 3.Body hair removal products 1.Chemical depilatories 2.Physical epilation products 3.Other body hair removal products 4.Bleach for body hair products 1.Bleach for body hair 5.Correction of body odour and/or perspiration 1.Products with antiperspirant activity 2.Products without antiperspirant activity 6.Shaving and pre- / after- shaving products 1.Shaving products 2.Pre- / after-shaving products 3.Other shaving and pre- / after- shaving products 7.Make-up products 1.Foundation 2.Concealer 3.Other face make-up products 4.Mascara 5.Eye shadow 6.Eye pencil 7.Eye liner 8.Other eye make-up products 9.Lip stick 10.Lipstick sealer 11.Other lip make-up products 12.Body or face paint, including “carneval make-up” 13.Other make-up products 8.Perfumes 1.Hydroalcoholic perfumes 2.Non hydroalcoholic perfumes 9.Sun and self-tanning products 1.Before and ater sun products Sun protection products 2.elf-tanning products 3.Other sun and self-tanning products 10.Other skin products 1.Other skin products 2.Hair and scalp products 11.Hair and scalp care and cleansing products 1.Hair conditioner 2.Scalp and hair roots care products 3.Antihairloss products 4. Other hair and scalp care and cleansing products 5.Antidandruff products 12Hair colouring products 1.Oxidative hair colour products 2.Non-oxidative hair colour products 3.Hair bleaching and dye remover products 4.Other hair colouring products 13Hair styling products 1.Products for temporary hair 2.styling Permanent wave products 3.Hair relaxer / straightener products 4.Other hair styling products 14.Other hair and scalp products 1.Hair sun protection products 2.Other hair and scalp products 3.Nail and cuticle products 15.Nail varnish and remover products 1.Nail varnish / Nail make-up 2.Nail varnish remover 3.Nail varnish thinner 4.Nail bleach 5.Other nail varnish and remover products 16 Nail care / nail hardener products 1.Nail care products 2.Nail hardener 3.Other nail care / nail hardener products 17. Nail glue remover products 1.Nail glue remover 18. Other nail and cuticle products 1.Cuticle remover / softener 2.Nail sculpting products 3.Other nail and cuticle products 4.Oral hygiene products 19.Tooth care products 1.Toothpaste 2.Tooth cleansing powder / salt 3.Other tooth care products 20. Mouth wash / breath spray 1.Mouth wash 2.Breath spray 3.Other mouth wash / breath spray products 21.Tooth whiteners 1.Tooth whiteners 22.Other oral hygiene products 1Other oral hygiene products

Guidelines on Registration of Import of Cosmetics | Ministry of Health and Family Welfare | GOI

Which product demand is high in India?

Online shopping is a growing trend in India, and the number of sellers and buyers is increasing daily by whopping percentages. According to the India Brand Equity Foundation, India’s total eCommerce is estimated to rise 21.5% by 2022. Clothing is one of the hottest-selling items online.

Apparels Mobile phones Books Stationery Consumer electronics Footwear Jewellery Fashion accessories Beauty products Computer accessories and software Toys and games Personal hygiene essentials Home decor items Kitchenware Household appliances Sporting goods Fitness equipment Convenience foods Health supplements Customised gifts

Do I need a license to sell online in India?

Once you’ve decided to launch an online store and selected one of the top business ventures, you must obtain a licence. Like a driver’s licence, operating an online business in India without one might get you in trouble. Like eCommerce accounting, getting a company licence might seem complicated, but it’s much easier than you think! Read on to find out more about how to set up an online business in India and get an e-commerce license.

What is the profit margin on cosmetics in India?

Cosmetics Profit Margin | Guide for Startups The average profit margin in cosmetics is 10%-15% minimum, whereas if we talk about luxury brands, the profit margin is more than 50%, The cosmetic Industry in India is a prospering sector and is expected to grow with more than 9.5% CAGR for 2022-2028,