1106
Manufacture of malt
This code covers the manufacture of malt, the process by which cereal grains, especially barley, are germinated and dried for use in the production of beer, whisky or other fermented beverages. Essentially, you transform raw cereals into an essential ingredient for the brewing and spirits industry. If you have a business that produces malt for breweries or distilleries, this is your code.
Entrepreneur Profile
Acest cod este potrivit pentru producători de malț, fie că sunt SRL-uri sau microîntreprinderi, care livrează materie primă către fabrici de bere, distilerii sau producători de băuturi artizanale. De asemenea, este util pentru fermieri care își diversifică activitatea prin procesarea propriilor cereale.
Who should avoid:
Avoid the exclusive use of code 1106 if the main activity of your company shifts towards other commercial or related branches not specified in the official description. See the excluded activities section below.
Procedure for authorization and Trade Register aspects for CAEN 1106
When registering a company that will carry out the activity Manufacture of malt (CAEN 1106), the standard documents are submitted to the Trade Register (ONRC): the application form, the constitutive act, proof of the registered office, the affidavit under Law 359/2004 regarding the fulfillment of operating conditions, and the relevant CAEN codes. For the main activity, the main object of activity is completed with code 1106. It is recommended to also register the related codes (e.g., 4639 – Wholesale trade of malt). Administrators and associates must not have a criminal record related to economic activities. ONRC does not require special prior approvals at registration, but subsequently, within 30 days, the fiscal registration declaration (fiscal vector) must be submitted to the Tax Authority (ANAF), and the company will be registered as a VAT payer if the estimated turnover exceeds the exemption threshold (RON 300,000, updated).
Regulatory framework, specific permits and control institutions
Manufacture of malt involves processes of germination and drying of barley or other cereals, an activity regulated by sanitary and environmental standards. If the production capacity exceeds certain thresholds, Directive 2010/75/EU on industrial emissions, transposed by Law 278/2013, applies. The company must obtain an environmental permit from the Regional Environmental Protection Agency (ARPM) or the Environmental Guard, depending on the production volume. Also, a sanitary operating permit is required from the Public Health Directorate (DSP), since malt is used in the food industry (breweries, distilleries) and must comply with hygiene conditions under Regulation EC 852/2004 and HACCP. If genetically modified cereals or pesticides are used, additional restrictions apply. Labor Inspectorate controls occupational safety and health, and ANPC checks the labeling and quality of the finished product. The company must notify the Tax Authority (ANAF) about the start of production and request any operating permits from the local mayor's office.
Fiscal management, ANAF audit risk and specific accounting
From a fiscal perspective, CAEN 1106 falls under the manufacture of food products. The VAT taxable base is the value of the malt delivered, and invoicing is done through the RO e-Factura system for B2B operations. Corporate income tax is calculated at 16% of taxable profit, and micro-enterprises may pay 1% or 3% of revenue, if conditions are met (turnover not exceeding EUR 500,000, at least 1 employee). Excise duties do not apply to malt as such, but if the company supplies malt to beer producers, the latter are excise duty payers. Specific accounting requires distinct tracking of raw material (cereals) and finished product (malt) inventories, valued at production cost according to OMPF 1802/2014. Costs include: purchase of cereals, water and energy consumption, labor, depreciation of machinery (malting plants). ANAF audit risk is moderate, particularly regarding: documentation of intra-Community operations (if malt is exported), correctness of Declaration 390 (D390 – VAT recapitulative statement), and the fiscal treatment of agricultural subsidies (if EU funds are received). It is recommended to keep supporting documents for at least 10 years, according to the Fiscal Procedure Code. Also, the annual income declaration and the financial statements must be submitted to ONRC and ANAF, subject to fines ranging from RON 100 to RON 5,000 for delays. Associations with agricultural producers may generate tolling or processing operations, which must be reflected in the accounting through custody inventory accounts. If the company also carries out trading activities with malt, it is recommended to register the CAEN code 4639 at the Trade Register for full legal coverage.
Included Activities
- ✅ Manufacture of malt from barley, wheat, rye or other cereals
- ✅ Processing of grains by steeping, germination and drying
- ✅ Sorting and packaging of malt for sale
- ✅ Production of malt for the brewing, whisky and other fermented beverage industries
Excluded Activities
- ❌ Manufacture of beer (code 1105)
- ❌ Manufacture of distilled alcoholic beverages (code 1101)
- ❌ Production of malt syrups (code 1082)
- ❌ Retail sale of malt (code 4726)
Similar or Related CAEN Codes:
From the same category of economic activities:
Întrebări Frecvente
What authorizations are required for the manufacture of malt?
A sanitary-veterinary authorization from DSVSA is required, as malt is a food product. Also, you must comply with hygiene standards according to HACCP and register with the Trade Register under this CAEN code.
Can I produce malt as a micro-producer without complex authorizations?
Yes, if the production is less than 10 tons/year and is addressed directly to consumers or small breweries, you can operate as a micro-producer, but you still need to register with DSVSA and comply with hygiene conditions. For larger quantities, full authorizations are required.