Do We Need a Factory License for Our New CNC and Grinding Machines in Chennai?

We have started a new unit in Chennai. We have installed 2 CNC Hawemat 2000 machines and 1 Bench grinding machine (Manual). Is it necessary to apply for a factory license under Tamil Nadu factory rules? If yes, please share the details.

Thanks and regards,
Vinayak S. Kulkarni.

Hi Vinayak, What would be the approximate employee count? If it exceeds 10 employees and you are using power for the manufacturing process, then you have to apply for a factory license and factory plan approval.

Regards,
Rakesh
[Phone Number Removed For Privacy Reasons]

Factory License Requirements

A factory license is needed if there are 10 or more workers working with the aid of power (or 20 or more working without the aid of power). You have not stated how many employees you have, so it is difficult to give a proper answer.

Amendment to the Small Factories Exemption Act

There is also an amendment to the Small Factories Exemption Act under which all factories with fewer than 40 employees have to maintain only 2 registers and file only 1 annual return.