The Administration of the Union Territory of Lakshadweep, on July 22, 2026, has notified the “One Activity, One Licence” Framework to rationalise local business licensing requirements and promote Ease of Doing Business. Under the framework, the Trade Licence issued by the concerned Deputy Collector will serve as the primary local business licence for carrying on trade or business activities within the respective island. Ordinarily, no additional local business licence will be required for the same activity unless specifically mandated under applicable law.
The framework does not exempt businesses from obtaining statutory licences, registrations, approvals or NOCs under Central laws and regulations. These include, wherever applicable, FSSAI licence/registration, Drug Licence, PESO Licence, Legal Metrology registration/certificate, Fire NOC and Liquor Licence. The notification also provides a comprehensive category-wise list of businesses and their applicable requirements, covering retail, food and beverage, automobile services, IT services, construction, personal services, transport, manufacturing, fisheries, water sports, flammable products and medical/drug-related activities.
All departments and licensing authorities of the Lakshadweep Administration are directed to implement the framework and not insist upon duplicate local licences for the same business activity, except where specifically required by law. The framework is intended to eliminate duplication, simplify regulatory compliance and facilitate business operations in the Union Territory, and comes into force with immediate effect.
[Notification No. F-15/1/2020-COL]