Updated on July 11, 2025 06:11:30 PM
In Delhi, establishing a canteen in a public setting, such as a school, office, hospital, or other establishment, necessitates obtaining a Trade License. Depending on where the canteen is located, the local municipal authorities, the North Delhi Municipal Corporation (NDMC), South Delhi Municipal Corporation (SDMC), or East Delhi Municipal Corporation (EDMC), issue this license. The Trade License guarantees adherence to the city's safety, hygiene, and health regulations while granting you the legal right to run a food service business.
With the advent of online portals, the process of applying for a trade license in Delhi has become more efficient. Through the official MCD website, entrepreneurs and business owners can quickly apply from the comfort of their home or place of business by completing the application, uploading the necessary files, and paying the necessary fees.
Key documents, including proof of identity, proof of address, ownership or rental agreement, layout plan, and No Objection Certificates (NOCs) from the fire and health departments, are required of applicants in order to receive a trade license for a canteen. Additionally, a letter of authorization from the relevant authority might be needed if the canteen is housed in a government or institutional building.
In addition to assisting with legal compliance, a trade license enhances your canteen's reputation among patrons and authorities.
Trade Certificate [Sample]
A General Trade License (GTL) for Canteen permits them to execute monetary operations or engage in businesses with other entities with adherence to the legal framework. The General Trade License (GTL) permits canteen to sell or purchase or trade commodities and services legally. The Trade License for canteen ensures that the businesses are complying to the specific guidelines set by the MCD authority to assure trust and credibility for the consumers. Apart from a trade license for canteen, the Central Licensing & Enforcement Cell (CL&EC) of the Municipal Corporation of Delhi (MCD) provides licenses for different categories to the businesses. Entities are required to satisfy the set standards and regulations of the authorities to be granted a trade license for canteen.
The Trade License for canteen is to ensure compliance with the legal framework and regulations set by the MCD authority. Some of the benefits that businesses with a trade license for canteen benefit from are mentioned below.
Businesses who wish to obtain a trade license for canteen can fill out the application form on the official website of the MCD with all the mandatory and specified details for the trade license for canteen.
Businesses may fill out their personal details in the application form.
The information about the establishment's premises, description and category is to be filled for a trade license for canteen.
The businesses are required to provide details about property, unit area, address of unit and more.
The application form mandates information about establishment, type of constitution, and partner’s list.
Businesses may upload the required and specified documents as per the application form of general trade license.
The application fee of the general trade license is to be paid by the candidates.
Once the above listed steps are completed, candidates can download the trade license for canteen through their dashboard.
The required documents that the businesses would need to submit to get a trade license for canteen are listed below.
The table below displays the fee that is charged by the government for a trade license for canteen and it is categorized as per the localities and size of the infrastructure which will be premised for trades.
| Category | Up to 10 sqm | 10 to 20 sqm | 21 to 400 sqm | Above 400 sqm |
|---|---|---|---|---|
| A and B | Rs 3,968 | Rs 9,919 | Rs 166/sqm | Rs 83/sqm |
| C and D | Rs 2,645 | Rs 6,613 | Rs 132/sqm | Rs 66/sqm |
| E, F, G, and H | Rs 1,323 | Rs 3,306 | Rs 99/sqm | Rs 50/sqm |
Note: Professional Fees to apply for Trade License for centeens in Delhi Starts From ₹5,000.
Learn about the penalties that the business who do not possess a trade license for canteen, or disobey the set rules or continue to trade with an outdated trade license for canteen may face:
Conclusion
Trade license for canteen is a permit that allows them to engage in business with other entities and conduct monetary activities with compliance to the law. The Trade License for canteen is important, to ensure that the entities hold credibility and the consumers can trust the business. The MCD Trade License is responsible to monitor the businesses and ensure legal compliance before engaging in monetary transactions including sale, purchase, or trade of commodities and services. The trade license of canteen can be renewed once its validity of three years is over after the issuance.
At Professional Utilities, we leverage our industry knowledge and expertise to help businesses navigate complex regulations, minimize risks, and optimize operations for maximum efficiency and profitability.
Frequently Asked Questions
Firstly, you have to fill out the prescribed application form with all the required and specified details and upload the necessary documents, then pay the fees of the trade license for canteen and submit the application, after that the MCD authority will issue a trade license for canteen.
Businesses are required to get a general trade license for canteen in Nehru Place, Connaught Place, Khan Market, Defence Colony, South Extension, Vasant Vihar, Greater Kailash, Saket, South Delhi and more places in Delhi.
Identity proof such as Aadhar card, voter ID, PAN card, passport, driving license, Photograph of the establishment, Proof of legal occupancy such as tenancy proof, electricity/water bill, lease deed and more.
The trade license for canteen will expire after 3 years of its issuance date and is needed to be renewed to continue the business operations without imposition of penalties and legal consequences by MCD authority.
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