Industrial licensing in India
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India India, officially the Republic of India (Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the so ...
, there are some regulations and restrictions with regard to establishing industries in certain categories. This is done by making it mandatory to obtain
licenses A license (or licence) is an official permission or permit to do, use, or own something (as well as the document of that permission or permit). A license is granted by a party (licensor) to another party (licensee) as an element of an agreeme ...
before setting up such an industry.


List of industries with compulsory licensing


Industrial licensing is compulsory for the following industries:

# Large and Medium Industries: Items reserved for the Small Scale Sector # All Industries: ## All items of electronic
aerospace Aerospace is a term used to collectively refer to the atmosphere and outer space. Aerospace activity is very diverse, with a multitude of commercial, industrial and military applications. Aerospace engineering consists of aeronautics and astr ...
and defense equipment, whether specifically mentioned or not in this list. ## All items related to the production or use of
atomic energy Atomic energy or energy of atoms is energy carried by atoms. The term originated in 1903 when Ernest Rutherford began to speak of the possibility of atomic energy. Isaac Asimov, ''Atom: Journey Across the Sub-Atomic Cosmos'', New York:1992 Plume, ...
including the carrying out of any process, preparatory or ancillary to such production or use, under the Atomic Energy Act, 1962.


Comprehensive list of industry (where industrial licensing is compulsory)

#
Coal Coal is a combustible black or brownish-black sedimentary rock, formed as rock strata called coal seams. Coal is mostly carbon with variable amounts of other elements, chiefly hydrogen, sulfur, oxygen, and nitrogen. Coal is formed when ...
and lignite #
Petroleum Petroleum, also known as crude oil, or simply oil, is a naturally occurring yellowish-black liquid mixture of mainly hydrocarbons, and is found in geological formations. The name ''petroleum'' covers both naturally occurring unprocessed crud ...
(other than crude) and its distillation products. #
Distillation Distillation, or classical distillation, is the process of separating the components or substances from a liquid mixture by using selective boiling and condensation, usually inside an apparatus known as a still. Dry distillation is the heat ...
and brewing of alcoholic drinks # Sugar #
Animal fats Animal fats and oils are lipids derived from animals: oils are liquid at room temperature, and fats are solid. Chemically, both fats and oils are composed of triglycerides. Although many animal parts and secretions may yield oil, in commercial ...
and oils, partly or wholly
hydrogenated Hydrogenation is a chemical reaction between molecular hydrogen (H2) and another compound or element, usually in the presence of a catalyst such as nickel, palladium or platinum. The process is commonly employed to reduce or saturate organic ...
# Cigars and cigarettes of tobacco and manufactured tobacco substitutes # Asbestos and asbestos based products # Plywood, decorative veneers, and other wood-based products such as particle board, medium density fiber board, and black-board #Raw hides and skins, leather chamois and
patent leather Patent leather is a type of coated leather that has a high-gloss finish. The coating process was introduced to the United States and improved by inventor Seth Boyden, of Newark, New Jersey, in 1818, with commercial manufacture beginning Septe ...
# Tanned or dressed
fur Fur is a thick growth of hair that covers the skin of mammals. It consists of a combination of oily guard hair on top and thick underfur beneath. The guard hair keeps moisture from reaching the skin; the underfur acts as an insulating blanket t ...
skins #Motor cars #Paper and Newsprint except
bagasse Bagasse ( ) is the dry pulpy fibrous material that remains after crushing sugarcane or sorghum stalks to extract their juice. It is used as a biofuel for the production of heat, energy, and electricity, and in the manufacture of pulp and building ...
-based units (''i.e.'' except units based on minimum 75% pulp from agricultural residues, bagasse and other non conventional raw materials) #Electronic aerospace and defence equipment: all types #Explosives including detonating fuses, safety fuses,
gunpowder Gunpowder, also commonly known as black powder to distinguish it from modern smokeless powder, is the earliest known chemical explosive. It consists of a mixture of sulfur, carbon (in the form of charcoal) and potassium nitrate (saltpeter). Th ...
,
nitrocellulose Nitrocellulose (also known as cellulose nitrate, flash paper, flash cotton, guncotton, pyroxylin and flash string, depending on form) is a highly flammable compound formed by nitrating cellulose through exposure to a mixture of nitric acid and ...
and matches #
Hazardous chemical Dangerous goods, abbreviated DG, are substances that when transported are a risk to health, safety, property or the environment. Certain dangerous goods that pose risks even when not being transported are known as hazardous materials ( syllab ...
s #Drugs and Pharmaceuticals (according to Drug Policy) #Entertainment electronics (VCR, Color TV, CD player, tape recorder) #White goods (domestic refrigerators, domestic dishwashing machines, programmable domestic washing machines, microwave ovens, air conditioners)


References


See also

*
License Raj The Licence Raj or Permit Raj (''rāj'', meaning "rule" in Hindi) was the system of licences, regulations, and accompanying red tape, that hindered the set up and running of businesses in India between 1947 and 1990. Up to 80 government agencies ...
{{Economy of India Industry in India Licenses Regulation in India