To buy medicines from a pharma company and sell them on to chemists, clinics and hospitals, you need to be licensed for wholesale drug distribution. This is a general guide. Requirements and fees differ between states and change over time, so always confirm them with your State Drugs Control Department before you apply.
1. Wholesale drug licence
Wholesale drug licences are issued by the State Drugs Control Department (State Licensing Authority) under the Drugs and Cosmetics Act, 1940 and the Drugs Rules, 1945. Most states now accept applications through an online portal.
Applications typically ask for:
- details of the premises, with proof of ownership or a rent agreement, and a site plan,
- storage arrangements suitable for medicines, including refrigeration if you will handle cold-chain products,
- details of the competent person who will supervise the sale, with their qualification and experience certificates,
- identity and address proof of the proprietor, partners or directors,
- the prescribed fee.
Ask the authority which licence forms apply to the products you plan to handle.
2. GST registration
GST registration is needed for invoicing and for buying from the pharma company. Apply on the GST portal.
3. Business registration
This depends on how your firm is set up. You may need a partnership deed, LLP or company incorporation documents, and a bank account in the firm’s name. Local trade or shop registration may also apply.
4. Documents a PCD company may ask for
When you start, the company will usually ask for copies of your drug licence, GST certificate, firm documents and address proof. These are needed for invoicing and dispatch.
Where to check
- Your State Drugs Control Department website or office for licence forms, fees and premises rules.
- The GST portal for registration.
This article is general information, not legal advice. For the products and terms Ancare offers, see the PCD franchise page.