The Mangaluru City Corporation (MCC) broadly classifies trade licenses into Type A, Type B, and Type C categories. However, for practical business purposes, these types generally correspond to the common categories of General, Food, Industrial, and Dangerous/Offensive Trades.
1. General Trade
This category covers most ordinary commercial and professional activities that don't involve manufacturing, high-risk processes, or food preparation. Businesses must comply with the general laws and local regulations, including the Karnataka Shops and Commercial Establishments Act, 1961.
2. Food-Related Trade (Type A License)
This is mandatory for any business involved in manufacturing, storing, distributing, or selling food items and consumables. These establishments require a Health Trade License from the MCC's Health Department, often in addition to a mandatory FSSAI license (Food Safety and Standards Authority of India).
- Food and Health Trade License (Type A): Required for all food service establishments like restaurants, cafes, hotels, food stalls, bakeries, catering services, and any retail outlet dealing in food and beverages. This ensures adherence to hygiene, sanitation, and public health standards.
3. Industrial and Manufacturing Trades (Type B License)
This is for businesses involved in production, manufacturing, and industrial operations. Such businesses are often characterized by the use of machinery and electricity. They must adhere to industrial safety, labor, and environmental regulations.
- Industrial Trade License (Type B): Essential for factories, workshops, manufacturing units, and processing units that utilize machinery and electricity. Compliance with the Factories Act and local municipal safety norms is checked.
- Environmental / Industrial Waste License: Industries that generate industrial waste, effluents, or emissions must obtain Environmental Clearance and a waste management license from the Karnataka State Pollution Control Board (KSPCB) to ensure compliance with environmental norms and pollution control regulations.
4. Dangerous/Offensive Trades (Type C License)
This category includes high-risk or potentially hazardous activities that could be a nuisance or danger to public health, property, or the environment. These are often listed explicitly in Schedule X of the KMC Act, 1976, and require stricter oversight and clearances.
- Hazardous Trades License (Type C): For businesses dealing with dangerous substances or activities that are likely to be offensive or a public health concern. Examples commonly listed include:
- Firewood and Timber Shops
- Cracker Manufacturing and Storage
- Oil and Petroleum Storage/Processing
- Tanneries (Handling Hides)
- Chemical Factories
- Butcher Shops and Slaughterhouses
- Liquor License: Bars, liquor shops, breweries, and establishments serving alcohol require a liquor license under the State Excise Act, which is separate from a general trade license.
- Medical & Pharmaceutical Trade License: For hospitals, clinics, pharmacies (Drug License), and diagnostic labs, ensuring compliance with health regulations and medical/pharmacy laws.
- Entertainment License: Required for establishments like cinema halls, amusement centers, and event venues that host public gatherings or entertainment activities.
- Import/Export Trade License: For businesses involved in international trade, obtaining an Import Export Code (IEC) License from the DGFT is mandatory. The IEC license enables legal import and export of goods while ensuring compliance with customs and state trade regulations.