Regulation 2 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Regulation 2.1.8 sets out when the authority can suspend or cancel a registration certificate or licence. The normal path is an improvement notice under section 32 of the Act, followed by suspension if it is ignored, then an inspection, and cancellation if defects remain. The authority can also act forthwith in the interest of public health. This article is based on the 2017 compendium (Version II, 09.11.2017); later amendments may have changed it, verify on fssai.gov.in. If you face a suspension, see our suspension and revocation service.
After giving a reasonable opportunity of being heard, and recording a brief statement of reasons, the authority may suspend a registration or licence where the operator has failed to comply within the period in an improvement notice under section 32. An inspection may be directed not less than 14 days after the suspension order. If defects remain, the authority may cancel after a show-cause opportunity. In the interest of public health, it may suspend or cancel forthwith for reasons recorded in writing. No compensation or refund. A fresh application is possible after 3 months from cancellation if the notice points were complied with. As per the 2017 compendium.
The six sub-regulations
| Sub-reg. | What it says |
|---|---|
| (1) | In accordance with section 32, after a reasonable opportunity of being heard, the authority may suspend all or any of the activities covered, after recording a brief statement of reasons, where there is reason to believe the operator failed to comply within the period in an Improvement Notice. A copy of the statement goes to the operator |
| (2) | The authority may direct inspection within a reasonable period that is not less than 14 days from the date of the suspension order |
| (3) | If, on review of the inspection report, defects remain, the authority may cancel after an opportunity to show cause under section 32(3) |
| (4) | Notwithstanding anything in the Regulations, the authority may suspend or cancel forthwith in the interest of public health, for reasons recorded in writing |
| (5) | Suspension or cancellation gives no entitlement to compensation or refund of fees for the registration, licence or renewal |
| (6) | After 3 months from the date of cancellation under sub-regulation (3), the operator may make a fresh application if all observations in the improvement notice have been complied with |
The escalation path
- Improvement notice (section 32(1)). The Designated Officer, if he has reasonable ground for believing the operator failed to comply with applicable regulations, serves a notice stating the grounds, the failures, the measures needed, and a reasonable period of not less than fourteen days. See Improvement Notice under FSS Act: how to respond and the sample reply.
- Suspension (section 32(2) and regulation 2.1.8(1)). If the notice is not complied with within the period, the registration or licence may be suspended, with a hearing and a brief statement of reasons.
- Inspection (2.1.8(2)). At least 14 days after the suspension order, the premises may be inspected.
- Cancellation (section 32(3) and 2.1.8(3)). If defects persist, cancellation follows after a show-cause opportunity.
Section 32(3) proviso separately allows suspension forthwith in the interest of public health, for reasons recorded in writing. Regulation 2.1.8(4) carries that power to both suspension and cancellation.
Hearing and reasons
Two safeguards appear in this regulation. For the ordinary route in (1), a reasonable opportunity of being heard is required, with a brief statement of reasons recorded and supplied to you. For cancellation under (3), a show-cause opportunity is required. The forthwith power in (4) does not mention a hearing first, but it does require reasons recorded in writing. If you receive an order, read it for these.
Appeal
An operator aggrieved by suspension or cancellation can appeal to the Commissioner of Food Safety under section 32(4) of the Act, within fifteen days from the date the notice of the decision was served (section 32(5)). Regulation 2.1.12 cross-refers to that appeal. See Regulation 2.1.12 and, for the decision's finality, section 32(4) itself.
Money consequences
Sub-regulation (5) says suspension or cancellation does not entitle the operator to compensation or a refund of fees. Plan for that. Trading while suspended or after cancellation without a valid licence is a section 63 matter. As amended by the Jan Vishwas (Amendment of Provisions) Act, 2023, section 63 provides a penalty which may extend to ten lakh rupees. Separately, failure to comply with directions of the Food Safety Officer can attract a penalty under section 55, up to two lakh rupees.
Coming back after cancellation
Sub-regulation (6) sets a 3-month waiting period from the date of cancellation under (3). After that, a fresh application is possible if all observations in the improvement notice have been complied with. The text links the wait to cancellation under sub-regulation (3), so do not assume the same period for a forthwith cancellation under (4); ask the authority. The fresh application follows Regulation 2.1.3.
Practical examples
Example 1. A licensee ignores an improvement notice on drainage. After a hearing, the licence is suspended. An inspection 20 days later shows the drain still not repaired. The authority issues a show-cause and may cancel.
Example 2. A food poisoning incident leads the authority to suspend a kitchen's licence forthwith, with reasons recorded in writing. The operator can appeal to the Commissioner of Food Safety.
Example 3. A cancelled operator repairs everything in the notice. After 3 months from cancellation, it files a fresh application.
Need help with a notice, suspension or cancellation?
A suspension order moves quickly and the appeal period is short. TaxClue can review the order, prepare the compliance record and the appeal or fresh application through our suspension and revocation support. We will check the current position under later amendments before advising.
Key takeaways
- Suspension normally follows an unanswered improvement notice, after a hearing and recorded reasons.
- Inspection can be directed not less than 14 days after suspension.
- Cancellation needs a show-cause opportunity.
- The authority can act forthwith in the interest of public health, for reasons recorded in writing.
- No refund or compensation follows suspension or cancellation.
- A fresh application is possible 3 months after cancellation under (3), if the notice points are complied with.
Read next
- Regulation 2.1.7: validity and renewal
- Regulation 2.1.9: modifications, expansion and changes
- Improvement notice under FSS Act: how to respond
- FSSAI licence surrender: voluntary cancellation
Disclaimer: Based on the Food Safety and Standards Act, 2006 as enacted, read with the Jan Vishwas (Amendment of Provisions) Act, 2023 where it applies (ss.59, 61 and 63 only), and the FSS (Licensing and Registration of Food Businesses) Regulations, 2011 as per the 2017 compendium (Version II, 09.11.2017). Later amendments may have changed the Regulations (fees, forms, validity, portal steps and thresholds); verify on fssai.gov.in. Verify current notifications, regulations and FSSAI orders before acting.
