Legal analysis: it is illegal for individuals to refine animal oil. If the crime of refining animal oil privately is serious, disrupting market order and the circumstances are serious, they shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention. Processing animal fat requires going through formalities, such as food hygiene license at the health supervision office, fire safety license at the fire station, tax registration certificate at the tax bureau, business license at the administrative department for industry and commerce, environmental protection license at the environmental protection department and health certificate at the CDC.

Legal basis: Article 225 of the Criminal Law of the People's Republic of China violates state regulations and commits one of the following illegal business operations, disrupting market order, and if the circumstances are serious, he shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention, and shall also or only be fined not less than one time but not more than five times the illegal income; If the circumstances are especially serious, he shall be sentenced to fixed-term imprisonment of not less than five years, and shall also be fined not less than one time but not more than five times the illegal income or confiscated of his property: (1) dealing in franchise, monopoly goods or other goods whose trading is restricted as stipulated by laws and administrative regulations without permission; (2) buying and selling import and export licenses, import and export certificates of origin and business licenses or approval documents as stipulated by other laws and administrative regulations; (3) illegally engaging in securities, futures and insurance business without the approval of the relevant competent department of the state, or illegally engaging in fund payment and settlement business; (four) other illegal business activities that seriously disrupt the market order.