Like any other business, the fireworks shops and establishments, given the risks involved in the business, require a license to be operated within India. The applicant has to submit the application form along with the required fee and a few mandatory documents to acquire the license.
Not just Diwali, but every celebration in India calls for fireworks. Be it welcoming the new year, cheering team India’s victory in a cricket match, or even vibing along for a fete in the neighborhood temple, there are no exceptions for fireworks. Therefore, the demand for fireworks is always on the higher end in India, especially during Diwali. During the festival of Diwali, it is not uncommon to see temporary fireworks shops set up on open grounds in several urban and rural areas.
There are also several permanent and established brands that trade fireworks throughout the year covering various festivals and personalised occasions like marriages, cricket matches, the announcement of election results, etc. The sale of fireworks, which are low-key explosives, is regulated by the Explosives Rules, 2008 which falls under Explosives Act, 1884. These shops, therefore, require a valid license authorised by law to sell the fireworks.
Types of Licenses:
The Indian government has authorised Class 7 explosives for export, transport, manufacture, or sale as fireworks. Retailers who intend to procure a license for selling fireworks can obtain either a temporary license or a permanent license. The activities of such shops are governed by the Explosives Rules, 2008 and the Explosives Act, 1884. A license is not necessary when the shop deals with amorces (toy pistols) and sparklers which is not above 100kg, both put together.
Due to the hazardous nature of the business, great care must be exercised, to ensure that all safety protocols are in place in establishments that deal with fireworks. The application for the license has to be made under PESO (Petroleum and Explosive Safety Office). PESO is a department, under the Ministry of Commerce and Industry, that regulates the manufacture, import, export, transport, storage and usage of explosive materials, fireworks and other hazardous substances.
Temporary License:
The District Deputy Commissioner of Police is the certified authority to grant the temporary license. The license is ideal for shops that deal with fireworks weighing 600kg or less including crackers weighing about 500kg and Class7, Division 2, Subdivision 2, manufactured fireworks of 100Kg.
Permanent License:
The Additional Commissioner of Police issues the permanent license. These are given to those establishments that are situated in the prime areas of the city such as in commercial complexes or commercial streets as per the layout of the city.
Pre-Requisites for Obtaining a License to Sell Fireworks:
- The shop or establishment should be located on a commercial street or at a commercial complex
- The floor area of shop should extend between 9 to 25 square metres
- The Applicant or the prospective proprietor of the shop must have completed 18 years of age and must be of sound mind
- The road on which the shop is situated must be spacious enough to have Firefighting accessibility and should possess a width of at least 6 meters.
Mandatory Documents required for Procuring the License:
The following documents have to be furnished along with the application acquire a license for selling fireworks within India:
- Form 4 – Application form for license to possess and sell explosives
- Identity and address proofs accompanied with recent passport-size photographs of the applicant
- Affidavit with proper notarisation
- Plan of the shop or establishment designed by a registered architect
- Proof of ownership of the shop or establishment
- If the premises of the shop is on rental property, a NOC (No Objection Certificate) from the owner
- Four photographs of the shop or establishment, taken from various directions to enumerate that there is adequate spacing between the surrounding shops and structures from the shop of the applicant
Various other details such as the routes and roads approaching the establishment, shops, and structures surrounding establishment which deal with the fireworks, and electrical wiring work of the shop to be depicted in the site plan of the shop. Demand Draft of Rs. 600 drawn in favour of Joint Chief Controller of Explosives, to be payable at the concerned PESO office. Any other document that may be relevant as stated by the legislation.
Procedure to Obtain the License for selling fireworks:
- The individual intending to commence a fireworks shop must obtain the license for selling fireworks from the Deputy Commissioner’s office by furnishing the application along with the required forms and mandatory documents.
- The applicant has to cross-check the eligibility criteria to put up the shop.
- The applicant has to deposit the stipulated fee along with the application and the documents in the PESO (Petroleum and Explosives Safety Organisation) office
- For verification, the officer concerned from PESO will visit the site for the inspection of the completed facilities.
- Once the above-mentioned procedure is successfully completed, the applicant will be granted a license.
The process involved in procuring a license is simple yet could be time-consuming. The applicants should apply for a license well in advance if they intend to station their firework shops during festive seasons, say Diwali, for instance. The process of applying for a license could be a wee bit complicated as the applicants would have to study the Explosives Rules, 2008 thoroughly to find the category they would belong to and would have to file the respective forms accordingly.
The easier way would be to approach us at Vakilsearch, as we could do the groundwork for you and would ensure that you get hold of the license at the earliest. Fireorks are always in demand in a country like India, where celebrations are a day-to-day norm. Therefore, a fireworks shop could be an unmistakable business idea that could make one earn a pocketful.
FAQs
Who can apply for a license?
Anyone who meets the eligibility criteria, usually involving age, residency, and passing the required tests, can apply for a license. The specific requirements vary by jurisdiction.
What types of licenses are there?
Various types of licenses exist, including those for driving, professional practice, and business operations. Each type serves a specific purpose and may have distinct qualifications.
Where do I apply for a license?
You can apply for a license at designated government offices, such as the Department of Motor Vehicles (DMV) for driving licenses or specific regulatory bodies for professional licenses.
What happens if I violate the conditions of the license?
Violating the conditions of a license can result in penalties, fines, or even license suspension or revocation. Consequences depend on the nature and severity of the violation, emphasising the importance of adhering to license terms and regulations.
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