Many aspiring entrepreneurs in India want to sell “homemade cosmetics” — herbal creams, organic soaps, scrubs, or DIY beauty products. But before starting, it’s crucial to understand the legal requirements.
Note: Central Drugs Standard Control Organization does not issue license for homemade cosmetics in India, as it is illegal to manufacture cosmetics at home.
If you are planning to launch a brand based on your homemade formulations, don’t worry. There are legal pathways available to help you enter the Indian cosmetic market.
What Are Homemade Cosmetics?
Homemade cosmetics are products prepared using natural ingredients such as herbs, oils, and plant-based extracts, often on a small scale. While making them for personal use is allowed, once you want to sell them commercially, you must comply with the Drugs and Cosmetics Act, 1940 and the Cosmetic Rules, 2020.
Why Licensing is Important for Cosmetics
Licensing is important for the cosmetics business for the following reasons:
- Build customer trust
- Ensure quality standards and safety of the product
- Enhance brand reputation and market access to the product
- promote the legal sale and marketing of the product
- Protect the brand from legal issues.
- Quality assurance promotes consumer safety
Legal Pathways for Homemade Cosmetic Businesses
Since you cannot manufacture directly at home, here are the options to launch your brand:
- Loan License (Apply in Form COS-6 – License issued in Form COS-9): Use another company’s licensed facility to manufacture under your brand, while you (the loan licensee) hold the license.
- Third-Party / Contract Manufacturing: Tie up with a GMP-compliant manufacturer who already holds a COS-8 license. They manufacture; you handle branding & marketing. (If you want your own license while using their site, opt for a loan license as above.)
- Own Manufacturing License (Apply in Form COS-5 – License issued in Form COS-8): Set up your own GMP-compliant facility and obtain a manufacturing license from the State Licensing Authority.
Read More: What Is Cos-8 License In Cosmetics?
What are Form COS-5 and COS-8?
- Form COS-5 → Application for grant of a cosmetic manufacturing license.
- Form COS-8 → License granted after successful approval of the application and site inspection.
Only the State Licensing Authority (Drug Controller) can issue this license after evaluating your facility, technical staff, GMP compliance, and product details.
Also Read: What is Form COS-1 and COS-2?
What Are The Essential Documents Required For the Form COS-5 Application?
To apply for a manufacturing license for a cosmetics business under Form COS-5, the following documents are required to be submitted to the licensing authority:
- Cover letter.
- Manufacturing site details.
- Site master file.
- The cosmetic products list is intended to be manufactured.
- Proof of qualified technical staff.
- GMP compliance of the product.
- Fee receipt.
- Plant layout.
- Undertaking for product compliance as per the Cosmetic Rules, 2020.
Step-by-Step Procedure to Obtain a Cosmetic Manufacturing License
- Register on the CDSCO SUGAM portal
- Fill out the Form COS-5 application
- Submit all required documents
- Pay the prescribed fees
- Application reviewed by the State Licensing Authority
- Inspection & verification of manufacturing site
- License granted (Form COS-8) within 45 days of approval
What Is The Validity Of A Cosmetics Manufacturing License?
The validity of a cosmetic manufacturing license for a homemade cosmetics business is for a lifetime unless the licensing authority cancels it, and the manufacturer shall pay the fees every 5 years for maintaining validity.
FAQ
Do I need a license to prepare homemade cosmetic products in India?
Yes. While you can make cosmetics for personal use, for commercial sale you need a manufacturing license from the State Licensing Authority.
Can I legally sell cosmetics made at home?
No. Selling homemade cosmetics prepared in a non-licensed facility is illegal in India.
What is the alternative if I cannot build my own factory?
You can go for a loan license or a third-party manufacturing option to launch your brand legally.
What happens if I sell cosmetics without a license?
You may face penalties, confiscation of products, or cancellation of business operations under the Drugs & Cosmetics Act.
Why Should I Choose ELT Corporates?
Because of the ELT corporate dedicated team of experts and proven track record in successfully submitting and granting licenses, and navigating regulatory compliance difficulties.
