New Delhi, 25th February 2026: The National Restaurant Association of India (NRAI), representing the interests of over 5 lakh restaurants in India, welcomes the progressive licensing reforms announced by the New Delhi Municipal Council (NDMC) and supported by the Delhi Government, which exempt restaurants and food establishments from obtaining separate municipal health trade licences if they possess a valid registration/licence under the Food Safety and Standards Authority of India (FSSAI).
In a major step towards improving Ease of Doing Business (EoDB), the NDMC has decided that FSSAI-registered restaurants and cafes operating in its jurisdiction would no longer be required to apply for a separate health trade permit from the local body. Instead, the FSSAI licence will be treated as a presumed health and trade licence under the applicable NDMC Act provisions.
The NRAI is grateful to Hon'ble Lieutenant Governor Shri Vinai Kumar Saxena, the Delhi Government, and the NDMC for introducing this innovative reform. The Association also recognizes the NRAI Delhi Chapter team and leadership's ongoing efforts to proactively engage with authorities to address long-standing industry concerns about duplicative municipal licensing systems. The decision also extends similar relief to other commercial establishments within NDMC limits, where valid GST registrations will be recognized as deemed general trade licenses.
The reform minimizes redundancy, streamlines regulatory requirements, decreases procedural delays, and will benefit both incumbent businesses and new entrants in Delhi's thriving food service industry. Inspections by civic authorities will continue to ensure compliance with public health, hygiene, and sanitation standards.
Reacting to the progressive reform, Mr. Sagar Daryani, President, NRAI, stated: ““This is a historic reform for Delhi’s restaurant community and a proud moment for the NRAI Delhi team. Restaurants operating in NDMC areas will no longer require a separate municipal Health Trade Licence, with FSSAI registration now recognised as the primary statutory requirement. The removal of this additional compliance layer marks a significant step toward regulatory simplification and ease of doing business.
On behalf of NRAI, we sincerely thank Hon’ble Lieutenant Governor Shri Vinai Kumar Saxena and Hon’ble Chief Minister Smt. Rekha Gupta for enabling this progressive and industry-friendly reform. This landmark decision not only streamlines processes in Delhi but also sets a strong precedent for other municipal corporations across India to rationalise and modernise their licensing frameworks.”
Speaking on the occasion Mr. Sandeep Anand Goyle, NRAI Delhi Chapter Head, said: “This reform marks a defining moment for Delhi’s restaurant community and significantly strengthens the capital’s ease of doing business framework. As highlighted by Hon’ble Lieutenant Governor Shri V.K. Saxena, the removal of the mandatory MCD Health Trade Licence eliminates a redundant compliance layer for restaurants. We now look forward to the formal notification and operational clearance from the MCD to fully implement this progressive decision.
He further added “For years, the licence required annual renewals and often resulted in procedural delays, despite establishments already complying with FSSAI, fire and excise norms. This move will ease operational pressures, encourage new openings, generate employment and enable restaurateurs to focus on quality, innovation and growth rather than paperwork.”
