IMPORT-EXPORT BUSINESS LICENSE
You need to apply for an Importer Exporter Code (IEC) if you want to import or export anything to and from India to other countries. Technically speaking, IEC is a 10-digit number granted by the Directorate General of Foreign Trade (DGFT) to any Indian entity seeking to do international trade.
Who Can Apply?
Sole proprietors, Partnerships or Private limited companies dealing in import and exports of goods need to have an import-export code mandatory. It is not necessary to set up a business for the same. All sellers need to register for the Import Export Code (IEC )number irrespective of the size of their business. However, IE code is not required for Import/export of goods for personal use, which is not connected with trade, manufacture or agriculture. Also, government ministries and certain charitable organizations can import and export goods without IEC registration.
Steps Involved in IEC (Import/Export Code) Registration
Step 1: First, you need to prepare an application form in the specified format – Aayaat Niryaat Form no. 2A format and file it with the respective Regional office of DGFT.
Step 2: Secondly, you need to prepare the required documents with respect to your identity & legal entity and address proof with your bank details & the certificate in respect of ANF2A.
Step 3: One your application is completed, you need to file with DGFT via DSC (Digital Signature Certificate) and pay the required fee for the IEC Registration.
Step 4: Finally, once your application is approved then you would receive the IEC Code in a soft copy from the government.
Documents required for IEC (Import Export Code) Registration
For IEC Code Registration following documents are required:
- Individual’s or Firm’s or Company’s copy of PAN Card
- Individual’s voter id or Aadhaar card or passport copy
- Individual’s or company’s or firm’s cancel cheque copy of current bank account
- Copy of Rent Agreement or Electricity Bill Copy of the premise
After submitting all the requisite documents IEC is typically allotted by DGFT in 5-10 days. It is not necessary to show proof of any import or export to obtain IE Code. Now a days, as IEC can we partially applied online with the help of digital signature, IEC can be obtained in less than a week.
Cases where Export Import Code (EIC) is not mandatory
According to the latest circular issued by the government, IEC is not mandatory for all traders who are registered under GST. In all such cases, the PAN of the trader shall be construed as new IEC code for the purpose of import and export.
Import Export Code (IEC) isn’t required to be taken in case the goods exported or imported is for personal purposes and isn’t used for any commercial purpose.
Export/ Import done by the Government of India Departments and Ministries, Notified Charitable institutions need not require getting Import Export Code.
If you are looking to expand your market and go beyond country borders and export/import, reach out to our experts and know all formalities you need to get through. You can avail all services such as GST registration, business registration etc.
While majorly the list of licenses and registrations to start an import export business in India remains unchanged, there are some specification in each field of business. For instance, in case of import and export of food products
