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Writer's pictureARUN KP

Trade / D & O License in Kerala

Updated: Dec 19, 2023


Trade License is a certificate issued by the local government like Panchayat, Municipality, and Municipal Corporations. This is like permission to do business in the local limits of the concerned Local Self Government (LSGD). In most cases, the Health Department of LSGD issue the D & O License. The D & O License issue in Kerala is controlled and regulated by " The Kerala Panchayat Raj Act, 1994.




The Kerala Panchayat Raj (Issue of Licence to Industries, Factories, Trades, Entrepreneurship Activities, and Other Services ) Rules/ 2018 now come into force to regulate the Issue of License." Issue of License to Dangerous and Offensive Trades and Factories Rules 1996 " has been substituted by the words " Issue of License to Industries, Factories, Trade, Entrepreneurship Activities, and Other Services Amendment Rules 2018 " by passing the ACT " The Kerala Investment Promotion and Facilitation (No. 2) Act 2018 ".


The Owner / Occupier / Authorized Representative of every place or business used for the purposes specified in Schedule I (Trade, Commerce, and Establishment) shall, within thirty days, submit to the Secretary an application for a license for the use of such place for such purpose.


If the applicant intends to start more than one trade, he has to take the license for each additional business.


Importance & Need for D & O License

  • The Major objective of the D & O License is to restrict dangerous and offensive trades which is harmful to the public.​

  • The Village Panchayat may, by affixing notices in the notice board of the Offices of the Panchayat and conspicuous places of every constituency in the Panchayat and by advertisement by way of pamphlets and loudspeakers, notify that no site in the Panchayat area shall be used for any purpose or purposes specified, in Schedule I without the license issued by the Secretary and Officer authorized by him, and except by the conditions specified therein.

  • If the license is for running restaurants, eating houses, hotels, coffee houses, tea shops, or barbershops, the license issued by the Secretary and Officer authorized by him shall always contain. It shall be deemed to have a condition that admission therein shall be available for every public member.


The Application for Trade License has two phases

  1. Application for Issue of New License

  2. Renewal Existing License


Step by Step process of Trade License Application

Step 1: The applicant has to submit the application along with supporting documents Online or at the counter to Secretary or Officer authorized by him (FORM 1). After receipt of the application and supporting documents, the secretary shall issue an acknowledgment to the applicant. If any supporting document is missing from the application, the Secretary or Officer authorized by him shall immediately inform the applicant and allow the applicant to submit the missing paper at the earliest but not later than three days from the date of receipt of the application.


Step 2: Depending on the type of trade the applicant wants, the application process starts with the Health Inspector inspecting the proposed trade premises and submitting his field verification details to the Secretary. Based on the remarks received from the Health Inspector, Secretary decides whether the license will be granted.

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Step 3: License Fees Payment ( Fees will be chargeable as per schedule II, Find the below attachment).

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Step 4: The license will issue within seven days of receipt of the prescribed Fees.

Note: The period of the Trade License is for Five years (Earlier than Three Years) and shall be renewed automatically after the payment of License fees. The License fee must be paid before 30 days of the license expiration—no need to file a renewal application. Sometimes, the secretary may ask for a Self Declaration Certificate and NOC from the Premise owner.



Documents Required - For Trade License

  • ​ Building Owner's Consent Letter (Rs. 200 Stamp Paper, Notarized)

  • Latest Property Tax Receipt

  • Affidavit of Applicant (Rs. 200 Stamp Paper)

  • Rent Agreement

  • Id Proof (Applicant & Building Owner)

  • MOA / AOA / Certificate of Incorporation / Partnership Deed

  • Consent Letter / Board Resolution for Authorized Signatory

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Additional Documents

In the case of an Industry / Workshop / Machinery/ Factory, the applicant must obtain the NOC for installing the equipment before starting the trades.

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In the case of / Hospitals / Clinic/ Paramedical institutions / Clinical Laboratories and other healthcare institutions, The following documents are required.

  • ​Report of District Medical Officer of Health

  • NOC from the Department of Town and Country Planning

  • NOC from State Pollution Control Board


Period of License (Validity) / Renewal


The period of the Trade license is for five years and shall be renewed automatically after paying License fees. The License fee must be paid before 30 days of the license expiration—no need to file a renewal application. Sometimes, the secretary may ask for a Self Declaration Certificate and NOC from the premise owner.



Maximum fees which may be fixed towards annual license fees




PEAK Business Consultancy Services, Kochi, Ernakulam, Kerala helps to obtain Trade License all over Kerala. To get the best Quote for Trade License Registration. Visit at



+ 91 97 44 460070


 

Recent Notification against Trade / D & O License

(SRO 674/2017)-Kerala Panchayat Raj (Issue of License to Dangerous and Offensive Trades and Factories ) Amendment Rules 2017

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Kerala Municipality (Registration of Private Hospitals and Private Paramedical Institutions) Amendment Rules 2017


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