Q&A: Shanghai streamlines licensing for catering businesses

english.shanghai.gov.cn| May 11, 2026

Shanghai's detailed rules for reviewing food business license applications took effect in February.

The new rules aim to ease requirements for catering businesses, simplify licensing procedures, and reduce operating costs.

Here are answers to three common questions:

Q1: Are mixed business types like "coffee + burgers" or "cultural and creative + catering" now allowed?

A: Yes. The new rules clearly support mixed business as long as food safety requirements are met. Operators can use space flexibly and optimize functional zones according to actual workflows to reduce costs. For example, provided that safety is assured, operators engaged in simple food preparation and sales may appropriately reduce certain facilities and equipment for cleaning and disinfection where appropriate.

Q2: Is it still necessary to invest heavily in building dedicated rooms for processing low-risk foods?

A: It depends. Separate dedicated rooms must be set up for processing high-risk foods, such as cold dishes, cold-processed pastries, and raw foods. However, for low-risk operations such as making beverages, simple heating, and unpacking pre-packaged foods, only a dedicated operating area is required.

To encourage catering businesses to implement "Internet + Open Kitchen" (a system that allows consumers to view kitchens via live video), the new rules specify that small restaurants and beverage shops no larger than 150 square meters that have implemented the system may be exempt from on-site inspections.

Q3: Is the licensing process complex?

A: Market regulation authorities have introduced "one form and one checklist," namely an inspection form and a set of layout guidelines. The form lists all the review standards, allowing applicants to self-check item by item and apply only after meeting them. The layout guidelines provide ready-made templates, enabling small restaurants, beverage shops, and hot pot or barbecue restaurants to choose sites and plan their layouts accordingly.

 

Source: Shanghai Municipal Development and Reform Commission