In India, “Tobacco License” depends on client activity — retail shop, wholesale/dealer, exporter, packer, or manufacturer.
1. For retail / paan shop / cigarette shop
There is generally local municipal trade/vendor license required. In Delhi, MCD says General Trade/Storage License is mandatory for traders/establishments under Section 417 of DMC Act. Fee depends on area, trade, premises size and local body.
They must also follow COTPA rules: no sale to person below 18 years, no sale within 100 yards of any educational institution, no unlawful advertisement, and sale only of packs having prescribed warning.
2. For dealer / wholesale / exporter / manufacturer
They may need Tobacco Board registration. Tobacco Board has online registration categories like Manufacturer, Exporter of Tobacco Products, Dealer in Tobacco, Packer, Processor, Commercial Grader, etc.
For 2026, Tobacco Board fee examples are:
| Category | Govt fee |
| Dealer in Tobacco |
₹500 / ₹1,000 depending turnover |
| Packer of Tobacco |
₹500 / ₹1,000 depending turnover |
| Exporter of Tobacco Products |
₹1,000 |
| Manufacturer of Virginia Tobacco |
₹2,000 to ₹30,000 depending turnover/value |
| Processor of Virginia Tobacco |
₹4,000 to ₹20,000 depending quantity |
3. Documents you should ask from client
Copy-paste checklist:
Documents Required for Tobacco License / Registration
Dear Sir, please share the following documents so that we can check the correct category and start the tobacco license/registration process:
- Firm name and constitution — Proprietorship / Partnership / LLP / Pvt Ltd
- PAN card of firm/proprietor/company
- GST certificate
- Aadhaar/PAN of proprietor/partners/directors
- Shop/factory/godown address proof
- Rent agreement / ownership proof / NOC from owner
- Electricity bill / property tax receipt of premises
- Udyam/MSME certificate, if available
- Bank certificate / cancelled cheque
- Product details — cigarette, bidi, chewing tobacco, khaini, zarda, pan masala with tobacco, raw tobacco, etc.
- Nature of business — retail, wholesale, dealer, exporter, packer, manufacturer
- Godown/warehouse details, if any
- Previous year turnover details, if already running business
- Board Resolution / Authorization Letter, if company/LLP
- Existing trade license / shop establishment certificate, if available
- For manufacturer: factory license / DIC or Udyam / excise-related registration, if applicable
- Product label/packaging details with statutory health warning, if manufacturing or packing
Tobacco Board’s dealer/manufacturer criteria also specifically mention PAN, GST, bank certificate, undertaking/declaration, authorization, firm constitution documents, premises/godown details, and other activity-specific documents.