If you want to be an importer or exporter in India, you need to apply for an Import Export Code (IEC). If you meet all requirements, then your application will be approved by the Director General of Foreign Trade. The entire process takes about two weeks and must be completed before you start importing or exporting goods and services to/from India. Here’s how to get an IEC in India as well as when it’s necessary to do so.
What is IEC code?
IEC code is a 10-digit number issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industries, Government of India. It's required for import and export shipments worth more than Rs. 25,000. The code is granted automatically if the applicant is a company or firm registered with the Registrar of Companies, but individuals must file it. The IEC code can be applied for online through the DGFT website. Applicants will have to fill out a form on the site and pay an application fee plus service charge as per the mode of payment. Once you've completed this process, you'll receive your IEC within three working days.
How do you apply for IE code?
Document Required for Import Export Code
If you're starting a business that involves importing or exporting goods and services, you'll need to obtain an Import Export Code (IEC). This document is required by the Indian government and will be used as proof of your business' legal status. To get an IEC, you'll need to submit a completed application form, along with some other documents. These include a copy of your passport, two photographs, and a bank certificate. The Certificate of Incorporation for the company needs to also be submitted if you are applying for this import export code on behalf of a company. Other documents may also need to be submitted depending on the type of imports or exports being conducted. For example, if you're importing certain types of animals, then certificates from veterinary authorities will need to be provided.
Why should you apply for IEC code?
If you want to start a business that involves importing or exporting goods and services from India, you will need to apply for an Import Export Code (IEC). An IEC is required for customs clearance of your goods and also acts as a proof of identity. It is a simple process to file your IEC application online. Once you have received your IEC, you can start importing or exporting goods and services from India. You will be required to fill up details about the items being imported or exported such as quantity, description, unit price etc. A declaration form needs to be filled up before submitting the shipment at the customs office. For imports you will also be required to pay duty depending on whether it is dutiable under the Schedule 3 of Central Excise Tariff Act or not under Schedule 3 of Central Excise Tariff Act.