A plant needs central registrations and state consents before start-up
Most factory approvals are issued by state bodies through state single-window portals. Central industrial filings run through the National Single Window System (NSWS).
| Approval or registration | Authority and portal | When it is needed |
|---|---|---|
| Industrial Entrepreneur Memorandum (IEM), Parts A and B | DPIIT, on NSWS only | For manufacturing that does not need an industrial licence. Part A acknowledgement, Part B filing and amendments are handled only on NSWS. |
| Industrial licence | Central Government (IDR Act 1951; Arms Act 1959) | Before manufacturing licensed items such as defence products or small arms and ammunition. |
| Land allotment | State industrial development corporations (for example MIDC, YEIDA) and NICDP industrial nodes | Before site works. NICDP industrial cities are planned as plug-and-play sites. |
| Consent to Establish and Consent to Operate | State Pollution Control Board | Consent to Establish before construction; Consent to Operate before production. Hazardous-waste authorisation where relevant. |
| Building plan approval and factory licence | Local planning authority; state factories and labour department | Before construction and before start-up. Factory safety now falls under the Occupational Safety, Health and Working Conditions Code 2020, in force from 21 November 2025; existing rules continue during the transition. |
| Power connection | State electricity distribution company | Temporary power for construction, then the permanent connection before trial production. |
| BIS certification under Quality Control Orders | Bureau of Indian Standards | Before selling products covered by a Quality Control Order. |
| Importer-Exporter Code (IEC) | Directorate General of Foreign Trade | Before the first import of machinery or inputs, or the first export. |
| Bonded manufacturing licence (MOOWR) | Customs (CBIC): warehouse licence (s.58) and permission under s.65, Customs Act 1962 | Before importing capital goods or inputs on a duty-deferred basis into a bonded unit. |
Sources: PIB (DPIIT, IEM on NSWS); PIB (Labour Codes), 21 Nov 2025; PIB (NICDP), Aug 2024; Invest India, Doing Business in India 2025-26; Consolidated FDI Policy 2020; Mumbai Customs Zone I, MOOWR note.
Central filings
IEM on NSWS. Manufacturing that does not need an industrial licence files an Industrial Entrepreneur Memorandum with DPIIT. Since the migration of IEM services to the National Single Window System (PIB, 1 Oct 2025), Part A acknowledgement, Part B filing and amendments are handled only on NSWS. The set-up roadmap places the IEM Part B filing at step 10, when production starts and incentive claims begin.
Industrial licence. Defence items under the IDR Act 1951 and small arms and ammunition under the Arms Act 1959 need a licence from the Central Government before manufacturing. Most chemical manufacture is de-licensed: see FDI rules.
IEC. The Directorate General of Foreign Trade issues the Importer-Exporter Code, needed before the first import of machinery or inputs or the first export. The incorporation sequence pairs it with GST registration (step 9).
BIS. Products covered by a Quality Control Order need Bureau of Indian Standards certification before they can be sold in India. Check whether an order covers your product early, as certification is a pre-sale condition.
MOOWR. A bonded manufacturing unit needs a warehouse licence under s.58 and a manufacturing permission under s.65 of the Customs Act 1962 from Customs (CBIC) before importing capital goods or inputs on a duty-deferred basis. The tax treatment is explained under tax and zones.
State consents
Land. State industrial development corporations (for example MIDC in Maharashtra and YEIDA in Uttar Pradesh) allot land in industrial estates; NICDP industrial nodes are planned as plug-and-play sites. Land comes before site works and before building plan approval.
Pollution consents. The State Pollution Control Board issues Consent to Establish before construction and Consent to Operate before production, with hazardous-waste authorisation where relevant.
Building and factory. The local planning authority approves the building plan; the state factories and labour department issues the factory licence before start-up. Factory safety now falls under the Occupational Safety, Health and Working Conditions Code 2020, in force from 21 November 2025, with existing rules continuing during the transition. The wider Labour Codes are covered under Labour Codes.
Power. The state electricity distribution company provides temporary power for construction and then the permanent connection before trial production.
Timelines
Timelines vary by state and project category. The only fixed periods stated in the sources are:
| Item | Period |
|---|---|
| Decision target for land-border stakes up to 49% in priority sectors | 60 days |
| Declaration to the Ministry of Defence for new foreign investment up to 49% in an existing defence licensee | Within 30 days |
| Share allotment after receipt of capital | Within 60 days |
| Form FC-GPR after share issue | Within 30 days |
| Declaration of commencement of business | Within 180 days |
| GST registration for low-risk applicants opting for automated approval | 3 working days |
Generic approval timings are set out under approvals and timelines.
What to check next
- Confirm whether your product needs an industrial licence or only an IEM, and whether a Quality Control Order applies.
- Sequence Consent to Establish before construction and Consent to Operate before production; both are state processes with their own timelines.
- Decide on MOOWR before ordering imported capital goods, as the s.58 licence and s.65 permission must be in place before duty-deferred import.
- Check the state single-window portal for the factory licence, building plan and power connection steps in your chosen state.
- Confirm current timelines with the state agency; none of the state consents has a fixed statutory period stated in the sources.