Drug License

Mandatory license for retail, wholesale, or manufacturing of pharmaceutical drugs, medicines, and cosmetics under the Drugs and Cosmetics Act, 1940.

Drugs & Cosmetics Act 1940
State Drug Authority
30–45 Days
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What is a Drug License?

A Drug License is issued by the State Drug Control Authority (SDCA) under the Drugs and Cosmetics Act, 1940 and Rules, 1945 to any establishment engaged in the manufacture, distribution, sale, or storage of pharmaceutical drugs, medicines, and cosmetics. Any pharmacy (medical shop), wholesale drug distributor, pharmaceutical manufacturer, or importer/exporter of drugs must hold a valid drug license. The license ensures drug safety, proper storage, and qualified supervision by a licensed pharmacist.

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Types of Drug Licenses

Retail Drug License

Form 20 & 21 for retail pharmacy (medical shop) for non-Schedule H/X drugs and Schedule H/X drugs.

Wholesale Drug License

Form 20B & 21B for wholesale distribution of drugs to pharmacies, hospitals, and clinics.

Manufacturing License

Form 25 & 28 for pharmaceutical manufacturing units under CDSCO / State SDCA.

Import / Export License

Central government license for importing/exporting pharmaceutical drugs and active ingredients.

Eligibility & Requirements

Licensed Pharmacist (D.Pharma/B.Pharma) on staff (for retail)
Qualified technical staff for manufacturing
Minimum 10 sq.mt. premises for retail pharmacy
Refrigeration facility for cold-chain drugs
PAN Card of business entity
Partnership Deed / COI
Premises rental/ownership proof
Equipment list

How to Obtain a Drug License

Drug license applications are filed with the State Drug Controller Office of the respective state.

1Step 1: Appoint Qualified Pharmacist

Appoint a registered pharmacist with D.Pharma / B.Pharma degree for retail or qualified technical staff for manufacturing.

2Step 2: Prepare Premises

Ensure proper storage facilities, refrigeration, and minimum area requirements as per Rules 64-65 of D&C Rules.

3Step 3: Submit Application Forms

File Form 19 (application) + Form 20 + Form 21 with the State Drugs Controlling Authority.

4Step 4: Premises Inspection

Drug Inspector visits and verifies premises, equipment, storage, and qualifications of pharmacist.

5Step 5: Drug License Certificate

State Drug Controller issues the Drug License in Form 20/21. Displays the license number.

Drug license processing takes 30–45 days. Premises must be fully ready before inspection to avoid rejection.

Documents Required

Business Documents

  • PAN Card
  • GST Certificate
  • Partnership Deed / COI
  • Address proof

Pharmacist / Technical Staff

  • D.Pharma/B.Pharma certificate
  • Pharmacist Registration Certificate
  • Experience certificate
  • Appointment letter

Premises

  • Ownership deed / rental agreement
  • NOC from landlord
  • Premises layout plan
  • Refrigeration equipment proof

Post-Registration Compliance

Annual Renewal

Drug License must be renewed annually (31st December deadline for most states). Late renewal attracts penalty.

Record Maintenance

Maintain purchase and sale records in prescribed registers (Form 17, Form 20) and make available for inspection.

Schedule H/X Control

Maintain separate records for Schedule H and Schedule X (narcotic/psychotropic) drugs. Strict quantity controls apply.

Qualified Presence

A registered pharmacist must be physically present during all business hours. Absence during inspection leads to suspension.

Common Questions

Everything you need to know

Yes. A registered pharmacist (D.Pharma or B.Pharma) must be employed and physically present during all business hours for retail drug license.

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