What Food Businesses must know about Nepal’s new Food Law

Superseding the 57-year-old Food Act of 2023 (1967), Nepal’s Food Hygiene and Quality Act, 2081 (2024) introduces an updated and robust regulatory framework for ensuring food safety and quality. It places greater emphasis on public health, hygiene and food business operations, while aligning compliance requirements more closely with international benchmarks. The Act establishes a holistic framework for regulating the licensing and registration requirements, food safety protocols and approvals for import and export to facilitate a risk-free supply chain in the country. The previous 1967 Act primarily aimed at preventing food adulteration and maintaining natural food quality by prohibiting the production and sale of sub-standard or adulterated food. In this blog post, we will walk you through the key compliance obligations that food businesses in Nepal must follow under the new Act.

Registration and Licensing Requirements

Food Businesses are mandatorily required to register before carrying out any production, processing, packaging and storage of food. Food Businesses operating in Nepal will now have to obtain a recommendation from the Department of Food Technology and Quality Control (Department) or from such an office as specified by the Food Technology and Quality Control to register themselves as an industry carrying out such production, processing, packaging and storage related to Food. A business willing to obtain a recommendation from the Authority must apply to the Food Technology and Quality Control Department, concerned body or office by paying the prescribed fee for license and attach the prescribed documents along with the application such as –

a. letter from the industry registration body requesting a recommendation.

b. the capital, type and capacity of the industry.

c. technical proposal on the process to maintain the food hygiene.

d. quality of the food items to be produced and processed and

e. details of the relevant human resources.

The License which will be valid for a period of 2 years from the date of issuance will be issued to the applicant within 30 days from complying all the above-mentioned procedures. Non-compliance with the registration and licensing requirements can lead to suspension or revocation of the license.

Further, the Act establishes compliances for persons intending to establish an industry for production, processing, packaging and storage of food products by making it mandatory for them to register with Industry Registration Body of the Provincial Government in accordance with the Provincial Law and also mandated for them to acquire a recommendation from the office or body designated by the Provincial Government for food hygiene work.

Key Compliances

  • Obtain a recommendation from the Department to run a Food Business.

  • Register with the Department for carrying on the production, processing, packaging and storage of food.

  • Obtain a license from the Department to run a Food Business.

  • Pay the prescribed fee for obtaining a license to carry on a Food Business.

  • Submit the prescribed documents to the Department for establishing a food industry.

  • Renew the food license every 2 years after expiry.

Approval for Importing Food

Food Business Operators intending to import food must obtain approval from the Department or an office designated by the Department before importing the food. The Act has further prescribed that Food products brought to the entry point for importation post obtaining approval must also obtain an entry permit from the Department or an office designated by the Department before importing such items into Nepal. Non-Compliance will attract a penalty of NPR 50,000.

Key Compliances

  • Obtain an approval from the Department for importing Food / Food Products.

  • Obtain an entry permit from the Department before importing food items into Nepal.

Requirement of Quality Certification for Export

The Act stipulates the requirement for a food entrepreneur exporting food items / goods to a foreign country to obtain certification from the Department validating whether the food goods he intends to export comply with the quality standards of the country / foreign nation to which he is exporting. Such a certification for Export can be obtained from the Department or an office designated by the Department after paying the prescribed certificate related fees. Non-compliance will attract a penalty up to 3,00,000 or imprisonment upto 6 months or both.

Key Compliances

  • Obtain certificate for exporting food goods to a foreign nation.

  • Pay the prescribed fee for export certification to the Department.

  • Comply with the quality standards of the country to which the food goods are being exported.

Prohibitions under the Act

The Act prohibits the sale and distribution of contaminated food. The Act has brought in measures to disallow the production, processing, exporting, storing, transporting or keeping for sale or distribution of any of the following contaminated food for human consumption like

a. food which is rotten, contaminated with garbage or poisonous substance.

b. food preserved or prepared in a condition that makes it unfit for human consumption.

c. some or all of the food is made of any diseased or pathogenic animal or plant material or contains pathogenic microorganisms or harmful substances or chemicals that are harmful to human health in excess of the prescribed maximum limit.

d. food exceeding the maximum limit for endogenous or exogenous chemicals, pesticide residues, veterinary drug residues, bacterial toxins.

e. food using natural or artificial toxins, hormones or psychotropic chemicals. f. food containing radiation exceeding the maximum limit prescribed which may cause immediate or long-term effects.

g. food directly or indirectly using any substance or material prohibited for use as per Law. Non-Compliance with the prohibitory acts can attract a penalty up to NPR 5,00,000 or an Imprisonment up to 5 years or Both.

Key Compliances

  • Have systems and processes in place to prohibit sale and distribution of contaminated food.

  • Adopt food hygiene and management systems while producing, processing and packaging food.

  • Keep the place and premises where food is produced, processed and packaged clean.

  • Provide the details of production, processing and packaging requested by the department, office or food inspection officer in a timely manner.

  • Do not employ workers suffering from a communicable or infectious disease in food production, processing and packaging work until such disease is cured.

Labelling Requirements

The Act prohibits production, selling and distribution of food without labelling. The prescribed details to be mentioned on the labels are as follows –

a. Name of the food, name and address of the manufacturer.

b. Weight or volume of the item, selling price, batch number and date of production.

c. If the item is to be consumed within a certain period.

d. Use of warning messages, pictures or symbols on the label of food items that may harm the health of consumers in a particular situation, and

e. Details regarding the amount of nutrition in the specified food items.

The prescribed details on the labelling must be written in Nepali or English language by the producer and processor in case of food produced within Nepal and by the exporter or importer in case of food to be exported or imported in a manner understandable to the public. Food labelling details can also be written in any other language in addition to Nepali or English language.

Non-Compliance with the labelling requirements will attract a penalty of NPR 1,00,000.

Key Compliances

  • Establish systems and processes in place to ensure packaged foods are not produced, sold or distributed without labelling.

  • Include the prescribed details on the labelling of packaged foods.

  • Make sure that the details mentioned on the label is be written in Nepali or English language.

How Lexplosion can assist you?

Komrisk, a leading compliance management solution, which can help food businesses in Nepal navigate the complex regulatory landscape under the Food Hygiene and Quality Act, 2081. With robust features for tracking, reporting, and managing compliance obligations, Komrisk simplifies food safety, licensing, and traceability protocols. Seamlessly integrated with regulatory requirements, it ensures businesses stay compliant while proactively reducing risks.

Written by: Soumya Shuvra Das & Antara Dasgupta

Disclaimer

This content is intended for informational purposes only and does not constitute a legal opinion. Despite our efforts to maintain accuracy, we do not make representations, warranties or undertakings regarding the quality, completeness or reliability of the content. Readers are encouraged to seek legal counsel prior to acting upon any of the information provided herein. This content, including the design, text, graphics, their selection and arrangement, is Copyright 2024, Lexplosion Solutions Private Limited or its licensors. ALL RIGHTS RESERVED, and all moral rights are asserted and reserved.

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