If your business deals with weighing or measuring instruments, understanding the difference between dealer license and manufacturer license under legal metrology is important. The Legal Metrology Act, 2009, makes it important for every business involved in manufacturing or trading these instruments to get the correct license. Even if you’re building digital weighing scales or simply selling them in the market, having the right license ensures your business stays legal and compliant. Through this article, you will get to know the proper differentiation between these two terms and many more important facts related to it.
What is a Legal Metrology Manufacturer License?
A legal metrology manufacturer’s license is an official permission granted by the state government’s legal metrology department, allowing a business to manufacture weighing and measuring instruments in India. This includes items like weighing machines, fuel dispensers, measuring tapes, thermometers, water meters, etc. In easy words
What is a Legal Metrology Dealer License?
A legal metrology dealer license is a government-issued certificate that permits a business to sell or distribute weighing and measuring instruments, such as weighing machines, fuel pumps, thermometers, and measuring tapes, under the Legal Metrology Act, 2009. This license is mandatory. This license is mandatory if your business is involved in buying, stocking, or selling these instruments, even if you are not the manufacturer.
Who Needs a Manufacturer’s License Under Legal Metrology?
A manufacturer’s license under legal metrology is required by any business or individual that makes, assembles, or fabricates weighing or measuring instruments in India. This license is issued under the Legal Metrology Act, 2009, and assures that the products meet all the required standards for accuracy and safety.
- Make weighing and measuring instruments
- Assemble parts
- Put your brand label
- Manufacture packaged products
- Want to sell or distribute
Who Is Required To Obtain A Dealer License in India?
A legal metrology dealer license is mandatory for any person or business that buys, sells, supplies, or distributes weighing and measuring instruments or devices in India. This license ensures that the trading of such instruments is regulated and that all products being sold comply with accuracy and safety standards set by the Legal Metrology Act, 2009.
- You should secure a Dealer License If You
- Trade in Weighing or Measuring Instruments
- Act as a Retailer, Wholesaler, or Distributor
- Buy and Sell Certified Products
- Operate Across State Borders
- Stock and Exhibit Measuring Device for sale
What is the Difference Between Manufacturer and Dealer in Legal Metrology?
Check the table to know the difference between a manufacturer and a dealer in legal metrology:
| S.No. | Point of Difference | Manufacturer in Legal Metrology | Dealer in Legal Metrology |
|---|---|---|---|
| 1. | Defination | A manufacturer is a company or person who makes or fabricates weighing or measuring instruments or devices | A dealer is a person or company who buys, sells, or distributes weighing or measuring instruments but does not manufacture them |
| 2. | Action | Involved in the production of instruments like weighing scales, meters, etc. | Involved in the sale, supply, or distribution of instruments for customers or businesses |
| 3. | License Required | Should obtain a manufacturer’s license under the Legal Metrology Act, 2009 | Should obtain a dealer license under the Legal Metrology Act, 2009 |
| 4. | Who Needs It? | Anyone who builds or assembles measuring equipment in India | Anyone who sells or resells such instruments, including retailers, wholesalers, or distributors |
| 5. | Label Responsibility | Responsible for putting declarations on the product | Should ensure that the product sold carries proper labeling and is approved and certified |
| 6. | Product Testing | Need to get the products verified and stamped before sale | Cannot alter or assemble the product. Can only sell certified products |
| 7. | Example | A company that manufactures digital weighing scales, water meters, fuel dispensers, etc | A shopkeeper selling weighing machines or a distributor supplying flow meters to industries |
| 8. | Compliance Requirement | Should follow the legal metrology (General) rules, 2011 for manufacturing | Should follow the legal metrology rules, 2011 for sales and supply |
| 9. | State Wise Registration | Required to register in the state where manufacturing happens | Should register in every state where they sell or supply instruments |
| 10. | Labek Declaration | Needs to include the manufacturer’s name, address, and model details on the product | Needs to make sure proper labeling exists but doesn’t need to print it themselves |
Can One Apply for a State Level Dealer License And A Central Manufacturer License?
Yes, a business can apply for both a state-level dealer license and a central-level manufacturer license under legal metrology, but only if it is engaged in both manufacturing and selling activities.
What is a Central Manufacturer License?
If your business manufactures, weights, measures, or related devices, you need to have a manufacturer’s license from the central government. This license provides you permission to produce and supply such items across India.
- Issued by the Department of Legal Metrology
- Required if you manufacture weighing or measuring instruments
- Allows supply and distribution across multiple states in India
- Mandatory to ensure your manufacturing is compliant and approved
What is a State Level Dealer License?
Certainly, if you are involved in selling or distributing weights and measures, you should apply for a dealer license from the State legal metrology department. This license is needed even if you are selling your own manufactured products directly.
- Issued by the state controller of legal metrology
- Required for buying, storing, and selling weights and measures
- Applies even to manufacturers who also sell directly
- You should take a license in every state where you plan to sell
- Without it, your business could face penalties and product seizure
Can A Manufacturer Sell Directly Without a Dealer License?
No, a manufacturer can not sell directly without a dealer license according to the legal metrology rules in India.
What Happens If I Don’t Have The Correct License?
If you don’t have the correct legal metrology license, your business activity can be considered illegal.
1 – You may face heavy penalties or seizure of goods during inspection
2 – Your business registration can be cancelled for non-compliance with legal rules
