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Arunachal Pradesh Trade License


Arunachal Pradesh Trade License

Trade license is a document/certificate that grants permission to carry on a particular business or trade. Every business establishments need to take the required licenses before starting the activity. Trade license regulations are laid down by the State Government, which is entrusted with the task of regulating and observing the trade within a city. In this article, we look at the eligibility and requirements for obtaining an Arunachal Pradesh trade license in detail.

Features of Trade License

Why is the Trade License necessary?

To safeguard the society at large against nuisance and health hazard which a trader/business may cause. Trade license is a way to regulate the trade and to ensure compliance with rule and safety guidelines issued by the Government.

Who needs a Trade License?

Every trader involved in general trading within the territorial boundaries of any municipal corporation is required to get a trade license. The class of trade license varies on the nature of the business.

Licensing Authority For Trade License:

Trade License is issued by the authorised department of a municipal corporation in consultation with other departments like health, fire or engineering.

Commercial Premises:

Trade License can only be obtained if a business is run in the approved area. i.e. a commercial, Notified Commercial, Local Commercial, Residential Area or Mixed Land Use with small shops on the ground floor.

Shop and Establishments Act

The Shop and Establishment Act lays down the following stipulations based on which trade license in Arunachal Pradesh should be issued:

  • The permissible working hours on a daily and weekly basis that includes rest intervals, opening and closing hours, overtime policies, allocation of work, holidays, closed days, etc.
  • Regulation of employment norms for people of all genders and ages.
  • Regulations concerning the maintenance of records and registers.
  • Regulations concerning the display of notices.
  • Rules and regulations concerning paid leaves.
  • Conditions for employment and termination.
  • The responsibility of the employer and employee towards each other, the firm and the society.


The following are some of the types of trades/businesses that need a trade license to function:

  • All food and beverage establishments such as hotels, restaurants, food stall, canteen, bakeries, sellers of vegetables, provisions store, poultry, butchery, etc.
  • Trades like manufacturing industries, power looms, factories, flour mills, cyber café, etc.
  • Hazardous trades like a sale of firewood, dhobi shop, barbershop, candle manufacturing business, cracker manufacturing business, etc.

Eligibility Criteria

  • Any bonafide member of Arunachal Pradesh Scheduled Tribe (APST) is eligible.
  • Land possession Certificate/Allotment Order along with the latest land revenue payment.
  • If capital investment exceeds INR 10 lakhs, prior approval requires from the Secretary/ Commissioner.
  • Approval from the Trade and Commerce Department of the Government of Arunachal Pradesh is necessary.
  • If the applicant has no building/land of his/her own:- He/she should produce a Deed of Land Lease (Agreement) along with the latest land revenue payment papers of the landlord/building owner.
  • If the business in Pharmacy Shop, X-Ray, Clinical Laboratory, and Medicine related business (except the retail sale of Ayurvedic Medicine), license/clearance from the Health Department is mandatory.
  • In the case for a tea stall, restaurant, etc. clearance from District Medical Officer of the specific area, will be necessary.
  • In the case of opening a shop related to the sale of Veterinary and Agricultural products, a chemical clearance requires from the respective department.
  • If a business is dealing with ammunition and arms, requires prior approval of the Government of Arunachal Pradesh (Home Department).
  • If a business is Small Scale Industries Unit (SSI Unit): Permanent / Provisional registration certificate incorporated under SSI unit from the Director Industries/ DICs would be required.
  • If the business is related to forest products, No Objection Certificate from the Forest Department would be necessary.
  • If the business is related to manufacturing/processing of Saw and Veneer Mills: Approval from the licencing authority would be required.
  • No licence should be issued on the trade items which the Government has not yet approved/fixed licence fees on.
  • A licence should be renewed yearly on the realisation of renewal fees as approved by the Govt.
  • 100% of initial and renewal fee of trade licence shall be deposited to State exchequer through Treasury Challan in Head of Account “0070 other Administrative services”.

If Partnership Firm:

  • Deed of Agreement.
  • List of shareholders maintaining a ratio of 51:49 participation between Arunachalees and Non-Arunachalees.

If business/trade is a private limited company:

  • Registration certificate should be incorporating under the Companies Act, 1956.
  • List of shareholding maintaining ratio 51:49% participation in between Arunachalees and Non-Arunachalees along with the Memorandum and Articles of Association.

Documents Required

To obtain the Trade License in Arunachal Pradesh, submit the following documents along with the application:

  • The ID and address proof of the owner of the business/trade.
  • Passport size photograph of the applicant.
  • Documents for portraying details of the approval of the plant and building permit.
  • Documents related to the building, which could be a property tax receipt (for a self-owned building) or rental agreement (for a rented building).
  • The proof of the premises with a NOC (No Objection Certificate) from the owner of the premises.
  • The receipt of property payment.
  • Details of power, premises or machinery plant.
  • NOC from the Pollution Control Board.
  • NOC from the Fire and Revenue Services Department.
  • An assessment every year of the property tax assessment with the details of the property such as its size, location, built-up area, etc.

Authority in Arunachal Pradesh

In the State of Arunachal Pradesh, Deputy Commissioners of all the districts and Additional Deputy issue the trade license for independent charges to industries and shops having a place of business within its jurisdiction.

Application Procedure

One can apply for Arunachal Pradesh Trade License by following the steps mentioned below:

Step 1: Visit the home page of the Department of Trade and Commerce of the State of Arunachal Pradesh.


Step 2: Click on the “Form” option which will redirect you to the next page. After which, you should select “Procedure and Form for issue of Trade License” option on the portal.


Step 3: Now, the trade license application form will be displayed on the screen. Download it in the PDF file format and complete all the required details. Submit the same to the concerned authority along with the documents.

Arunachal Trade License Application Form