Production and circulation of fruit and berry products is a fairly common activity among Ukrainian agribusiness.
According to the Law of Ukraine “On Basic Principles and Requirements for the Safety and Quality of Food Products” (hereinafter referred to as the Law), the cultivation and collection of wild plants – berries, nuts, other fruits and/or plants or their parts – is primary production. Products of primary production, which include products of plant origin (berries, fruits, other products intended for human consumption), are considered primary production.
Since market operators are responsible for ensuring the quality and safety of primary products, obtaining permits is one of these mandatory steps.
We will analyze in more detail what permits are required for the production and/or circulation of fruit and berry products in this article.
Permits are obtained by producers at facilities used in the process of growing, collecting wild plants, and manufacturing and distributing fruit and berry products.
Importantly! Facilities include not only structures / complex of structures, premises, buildings, equipment, other means, vehicles, as well as the territory used in the production and/or circulation of sanitary measures.
Depending on what primary products are produced and/or sold, enterprises can carry out their activities after:
1) capacity registration;
2) obtaining an operational permit for each such capacity.
What is the difference between regular registration and obtaining an operational permit?
Regarding the state registration of capacities.
According to Part 1 of Article 25 of the Law, facilities for the production and/or circulation of food products that do not require an operating permit are subject to state registration.
According to the same Law, obtaining an operating permit is not a mandatory condition for carrying out primary production: breeding, growing primary products, harvesting honey and other edible beekeeping products. Instead of obtaining an operating permit, companies are required to fulfill another mandatory condition - to register the facilities that will be used in primary production.
The procedure for applying for the registration of facilities to the territorial bodies of the State Production and Consumer Service and the procedure for such registration is determined by the Procedure for state registration of facilities, approved by the order of the Ministry of Agrarian Policy dated February 15, 2024 No. 431.
We note! Each individual capacity of the enterprise, including a vehicle used as a capacity for the sale of such products to end consumers, is subject to state registration.
Thus, the capacities of business entities must necessarily undergo state registration. Only after entering information about the capacities in the Register of Market Operators and their capacities, the enterprise can carry out primary production activities: growing, collecting, manufacturing and marketing fruit and berry products.
Regarding the operating permit for the facilities
An operating permit is required for those companies that may use unprocessed animal products (such as honey, milk, and others) during the production of fruit and berry products.
According to the Law, such a permit is obtained for the production and (or) storage of food products of animal origin. As is known, products of animal origin include milk, eggs, honey, their derivatives and other products.
The legislation also establishes certain exceptions where obtaining an operating permit is not a mandatory condition for carrying out activities with products of animal origin:
1) transportation of products that require temperature control and cannot be stored at temperatures above 10 °C while remaining suitable for human consumption; storage of products at temperatures below 10 °C;
2) production and/or storage of products whose ingredients are exclusively products of plant origin and/or processed products of animal origin
We note! Processed products are egg products (products of processing eggs, egg components, egg mixtures, products of their further processing) and dairy products (from milk and dairy raw materials. These products may contain food additives necessary for production, but provided that they do not partially or completely replace the components of milk - milk fat, milk protein, lactose).
3) operation of public catering establishments, retail trade, production of artisanal food products, products of animal origin at small capacities.
Here is an example. If a company will manufacture a food product exclusively from berries or with the addition of a dairy product, which is a processed product of animal origin, it is sufficient to register all available capacities. If such production will include the addition of other unprocessed products of animal origin, such as honey, milk, then in this case an operating permit is mandatory.
The detailed procedure for obtaining an operating permit is established by the Procedure for issuing, refusing to issue, canceling, temporarily suspending, reissuing, and renewing the operation permit, approved by Resolution No. 27 of the Cabinet of Ministers dated January 12, 2024.
As we can see, the difference between state registration and obtaining an operating permit lies solely in what primary products the company plans to sell. If such products will include products of animal origin, as a general rule, state registration is not enough.
Nevertheless, both the state registration of capacities and the obtaining of an operating permit are carried out according to almost the same procedure. The application is submitted by applying to the territorial bodies of the State Production and Consumer Service:
- personally or through an authorized person;
- through Tsnap;
- in electronic form, in particular through the Diya Portal.
State registration of capacities is a free administrative procedure. At the same time, you will still have to pay for obtaining an operating permit - currently it is 0.17 of the minimum wage established by law on January 1 of the calendar year in which the application for issuing an operating permit is submitted.
As we can see, the activity of production and (or) circulation of fruit and berry products has certain nuances and features, and the correct execution of permits is no less important stage for the successful implementation of such activities. Therefore, if you have any questions on this matter, please contact our law firm for help to receive thorough advice.
