The need for clean, safe drinking water has multiplied throughout India, and Coimbatore is not an exception. Establishing a mineral water plant in Coimbatore can be a very profitable business venture, but it needs proper planning and adherence to numerous legal norms.
Following is a detailed guide to explain the legal norms involved:
1. Business Registration
The first step is to legally register your business entity. You can choose one of the following business structures:
• Sole Proprietorship
• Partnership Firm
• Private Limited Company
• Limited Liability Partnership (LLP)
Registering your company is important to obtain tax registrations, licenses, and other approvals later.
Where to register:
Registrar of Companies (ROC) for Pvt Ltd/LLP
Local authorities for sole proprietorships and partnerships
2. BIS Certification (ISI Mark)
You need a BIS (Bureau of Indian Standards) Certification to sell packaged drinking water or mineral water in India.
You require IS 14543 certification for packaged drinking water.
You require IS 13428 certification for natural mineral water.
The BIS certification confirms that your water quality meets Indian safety standards. You are not allowed to sell bottled water without BIS approval.
Required documents:
Lab test reports of water
Factory license
Document showing proof of business registration
3. FSSAI License
The Food Safety and Standards Authority of India (FSSAI) governs all food and beverage industries, including bottled water producers.
You need to obtain an FSSAI license (State or Central level) based on your production capacity:
State License: When production is within Tamil Nadu and turnover is between ₹12 lakh to ₹20 crore.
Central License: When production is more than ₹20 crore turnover or interstate distribution is involved.
Application consists of:
• Water test reports
• Plant layout plan
• List of equipment and machinery
• Practices in worker hygiene
4. Pollution Control Board Consent
In Tamil Nadu, you must have the approvals of the Tamil Nadu Pollution Control Board (TNPCB):
Consent to Establish (CTE): Prior to plant construction.
Consent to Operate (CTO): After constructing the plant, prior to production commencement.
The TNPCB ensures that your plant handles water sourcing, waste discharge, and air emissions in a responsible manner to safeguard the environment.
Requirement includes:
• Details regarding water source and usage
• Effluent treatment plan
• Waste disposal measures
5. Groundwater Extraction Permission
If your facility is going to extract groundwater, you need to obtain permission from the Central Ground Water Authority (CGWA) or the state ground water authority.
As the trend towards sustainable use of water gains strength, the authorities will evaluate your extraction amount and make sure that it will not negatively affect the local ecosystem.
6. Factory License
If you intend to have more than 10 employees (with power-driven machinery) or 20 employees (without power), you require a Factory License under the Factories Act, 1948.
This license is granted by the Directorate of Industrial Safety and Health (DISH) in Tamil Nadu. It ensures your factory complies with worker safety legislation.
7. GST Registration
Any enterprise with an annual turnover of more than ₹20 lakh needs to register for the Goods and Services Tax (GST). You’ll require a GSTIN (GST Identification Number) to sell bottled water legally.
Packaged drinking water attracts GST at the rate of 18%.
8. Water Testing Reports
You’ll need to have your source water and packaged water tested periodically from a certified laboratory before you begin production.
Testing ensures that the water complies with parameters such as:
pH level
Total Dissolved Solids (TDS)
Presence of heavy metals
Absence of harmful bacteria like E. Coli
These reports are essential for both BIS and FSSAI approvals and need to be updated from time to time.
9. Trademark Registration (Optional but Recommended)
If you intend to create a brand for your bottled water (for instance, giving it a name like “AquaFresh Coimbatore”), a trademark registration is strongly advised. It safeguards your brand name from duplication.
You may submit online via the Intellectual Property India portal.
10. Fire and Safety Certificate
Your plant should be as per fire safety standards. Procure a Fire Safety Certificate from the local fire authority after having installed fire extinguishers, emergency exits, and alarms.
11. Employee Welfare Registrations
If you have a significant number of employees, you have to register for:
Employees’ Provident Fund Organization (EPFO)
Employees’ State Insurance Corporation (ESIC)
This makes you give social security benefits such as health insurance and retirement contributions to your workers.
Important Documents Checklist:
• Business Registration Certificate
• GST Registration Certificate
• BIS Certificate
• FSSAI License
• Pollution Control Board Consents (CTE and CTO)
• Groundwater Usage Approval
• Factory License
• Fire Safety Certificate
• Water Testing Reports
• Trademark Registration