Applying Import & Export Code in India

IE Code stands for Import Export Code. It is a license required by a person who wishes to start an import-export Business in India.

This certificate is issued by the Director General of Foreign Trade (DGFT) and is a 10-digit code that comes with a lifetime validity.

Any individual, partnership firm, Limited Liability Partnership (LLP), company, or any other entity engaged in import/export activities can apply for IE Code. There is no requirement for minimum turnover to apply for an IE Code. Even individuals who are involved in import/export for personal use or business use (not for commercial use) can apply for an IE Code.

Import & Export Code (IEC) Registration Process

In order to procure your IEC, you must go through the following steps carefully to register. They are :

Step 1: Prepare an application form in the prescribed format - Aayat Niryat Form no. 2A and file it in your regional office of DGFT.

Step 2: Prepare essential documents such as Identity proof and address proof along with Bank credentials and the certificate in respect of ANF2A.

Step 3: Once this is completed, file an application with DGFT using DSC (Digital Signature Certificate) and pay the required fee for registration online.

Step 4: When the application is completed and approved, you receive your IEC code in electronic format by the government.

  Advantage Of Import & Export Code Registration

1. Customs Clearance: IE Code is mandatory for customs clearance of goods for import/export at Indian ports. It is mentioned in various customs documents, including the Bill of Entry (for imports) and Shipping Bill (for exports).

2. Bank Transactions: IE Code is required by banks for processing foreign currency transactions related to imports and exports. It is used in documents such as Letter of Credit (LC) and Bank Realization Certificate (BRC).

3. Shipping Documents: IE Code is mentioned in various shipping documents, including commercial invoices, packing lists, and certificates of origin. It serves as a unique identification for the exporter or importer.

4. Government Licenses and Permits: IE Code is used for obtaining various licenses and permits required for international trade, such as Advance Authorizations, Duty-Free Import Authorizations, and Export Promotion Capital Goods (EPCG) licenses.

5. Foreign Trade Policy Benefits: IE Code is essential for availing benefits and incentives under India's Foreign Trade Policy, such as duty drawback, export incentives, and export promotion schemes.

6. Registration with Export Promotion Councils: Many export promotion councils require IE Code for registration. These councils provide support and assistance to exporters and promote their products in international markets.

7. Trade Agreements: IE Code may be required for claiming benefits under trade agreements and preferential trade arrangements between India and other countries.