Importer Exporter Code (IEC) Registration
Looking to export goods and in need of an Import Export Code (IEC)? The Apkireturn team is here to guide you through the process of obtaining it seamlessly.
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Importer Exporter Code Registration in Jaipur
IEC Code, which stands for Importer Exporter Code, is a key business identification number that is mandatory for export from and import to India. It is a 10-digit code issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industries, Government of India. IEC Code is PAN based, meaning it is issued against a single PAN number. No entity can have more than one IEC Code. The IEC Code must be quoted in various documents, such as customs clearance documents, shipping documents, and bank remittance forms, involved in the import/export process.
Process for IEC Registration
- Prepare Required Documents
Before beginning the application process, gather all necessary documents. Typically, these include:
- PAN Card of the individual or business.
- Valid Email and Mobile Number.
- Address proof of the business (like electricity bill, rent agreement or ownership deed).
- Bank Certificate or Cancelled Cheque bearing the account details and entity’s name.
Passport size photograph.
- Visit the DGFT Website
Access the DGFT’s official website. This is where the application process for IEC registration is initiated.
- Create an Account
If you are a first-time user, you will need to create an account on the DGFT portal. This will require filling in basic details like your email ID, mobile number, and PAN number.
- Fill the Application Form (ANF 2A)
Once logged in, select the option for ‘Apply for IEC’ or ‘IEC Modification’ if you already have an IEC and need to update details. The application form ANF 2A needs to be filled out accurately.
- Upload Documents
Upload the scanned copies of the required documents. Ensure that the documents are clear and as per the specifications mentioned on the DGFT website.
- Pay the Application Fee
There is a nominal fee for IEC registration. The payment can be made online through electronic fund transfer from designated banks.
- Submit the Application
After filling in the form and uploading documents, review your application for any errors and submit it.
- Verification and Approval
The DGFT office will process your application. They may conduct verification, if necessary. Once verified and found satisfactory, the IEC will be granted.
- Receive IEC Code
Upon approval, the IEC Code will be generated and sent to you via email. It can also be downloaded from the DGFT portal.
- Keep IEC Updated
If there are any changes in the information provided, such as address or bank details, ensure that your IEC is updated by applying for modification through the DGFT portal.
Documents Required for IEC Registration
Aadhaar card of the applicant.
PAN of the applicant.
PAN of the Business, if other than Individual.
Passport size photo of the applicant.
Business address proof.
(Incorporation Documents MOA, AOA, Partnership Deed, GST Number, Electricity Bill etc.)
Bank account details of the business.
(with Cancelled Cheque copy)
Advantages of IEC Registration
- Access to Global Market
IEC registration is a prerequisite for companies looking to expand their business into the international market. It legally allows them to import and export goods.
- No Need for Renewal
One of the major advantages of the IEC is that it comes with lifetime validity. Unlike many other business licenses, it does not require any renewal, making it hassle-free once obtained.
- Eligibility for Government Schemes
Companies with an IEC registration can avail themselves of benefits from the Export Promotion Council, Customs, and Export Credit Guarantee Corporation (ECGC). They become eligible for various export schemes and incentives provided by the Government of India.
- Ease in Clearance
Whether importing or exporting, businesses with an IEC find it easier to clear their shipments at customs. It facilitates a smoother, more efficient process for clearing agents.
- Simplified Banking Procedures
For transactions involving international trade, having an IEC simplifies various banking procedures. Banks often require the IEC for processing transactions related to foreign exchange.
- Opportunities for Expansion
With IEC, businesses can explore and expand into different markets globally, which can lead to increased brand recognition and business growth.
- Legal Compliance
Obtaining an IEC ensures compliance with all the laws and regulations governing the import and export of goods and services in India. This legal compliance can prevent any potential legal issues and penalties.
- Building Trust and Credibility
Having an IEC adds to the credibility of a business, as it signifies that the company is registered with the DGFT. This can build trust among foreign partners and customers.
When IEC Registration is mandatory?
- Clearance of Shipments
- Imports: Importers must provide their IEC code to customs authorities for clearance of incoming shipments.
- Exports: Exporters must furnish their IEC code to customs authorities for clearance of outgoing shipments.
- Banking Transactions
- Outward remittances: Importers must disclose their IEC code to banks when sending funds abroad for import purposes.
- Foreign currency receipts: Exporters must inform their banks when receiving foreign currency payments for export transactions.
- Customs Ports
Exports: Exporters must present their IEC code at customs ports during the export process for clearance of shipments.
- Licenses and Certifications
- Food license: To obtain a food license in India, an IEC code is mandatory.
- APEDA license: Similarly, an IEC code is required for businesses seeking an Agriculture and Processed Food Products Export Development Authority (APEDA) license.
- Export Subsidies
Availing benefits: Exporters seeking to claim export subsidies must disclose their IEC code to the relevant export promotion council.
Remember:
The IEC code serves as a unique identification number for import and export entities in India.
It’s crucial to accurately provide your IEC code in these scenarios to ensure compliance with regulations and facilitate smooth transactions.
Who are exempt from taking IEC Registration?
- Traders registered under GST can use their PAN as an Import Export Code.
- Import/export for personal, non-commercial purposes doesn't require IEC Registration.
- Government entities and registered charitable institutions are exempt from IEC Registration.
- Import/export to/from Nepal and Myanmar through Indo-Myanmar border areas doesn't require IEC Registration.
FAQs
Typically 15-20 days after submitting a complete application.
Lifetime validity, but needs to be updated if business details change.
Yes, track the status online on the DGFT website.
- Essential for conducting import and export activities
- Enables access to government schemes and benefits
- Enhances business credibility
Yes, apply for amendments online through the DGFT website.
Fines, penalties, and even imprisonment in severe cases.
