Starting an international business requires obtaining various registrations. One of the mandatory registrations before starting with the import export business is obtaining the Import Export Code (IEC). The IEC code acts as a legal identifier for the importers and exporters in India and is necessary for all the compliances and formalities associated with international trade.
What is the IEC Code?
Import Export Code is a 10-digit code issued by the Director General of Foreign Trade (DGFT) and is important to start and conduct the import export business. No importer or exporter can carry out the import or export of goods without having an IEC.
Why IEC Registration is Important?
While doing your import-export business, you will need an IEC for the following reasons:
- For the purpose of clearing shipments from the customs house, IEC needs to be submitted to the customs authorities
- For the purpose of sending money abroad through banks after imports, IEC needs to be submitted to the bank
- For the purpose of exporting shipments, IEC is needed by the port authorities
- Bank requires the IEC when money is deposited in foreign currency in the bank account
How to Apply for DGFT IEC Certificate?
To apply for DGFT IEC Code, you need to follow the below steps:
- Visit the DGFT portal
- Click on the ‘Apply for IEC’ button in the ‘Register for your IEC’ section of the home page
- In the ‘Register’ page, enter all the relevant details
- Click on ‘Send OTP’ and then enter the mobile and email OTP and click on the ‘Register’ button
- Login using the credentials received in your email ID. The password can be changed after you login to the portal
- After login, click on ‘Apply for IEC’ on the DGFT dashboard
- Click on the ‘Start Fresh Application’ button
- Enter all the relevant information including details of the proprietor/director/partner/karta, business details, bank account details etc.
- Make the payment and download the payment receipt for any future reference
- You will receive the IEC certificate on your email ID. You can also download the same by visiting the DGFT website
Must Check "Key Registrations to Start an Import Export Business in India"
Documents Required for IEC Certificate Registration
You need to keep the following documents handy while applying for IEC registration online:
- Copy of the PAN card of the individual, partnership firm, LLP, HUF or company
- Copy of the Aadhaar card of the proprietor, director, partner or karta
- Proof of incorporation or establishment of the company, partnership firm, LLP or HUF
- Proof of registered address of the business office
- Copy of cancelled cheque, passbook or bank statement of the bank account
How Exim Advisory Can Help?
Exim Advisory is an esteemed professional organisation with years of experience helping businesses with certifications and compliances in the realm of international trade and commerce. If you wish to apply for Import Export Code Registration, then here’s how the Exim Advisors can help:
- Gathering of all the documentation for applying for the IEC code
- Registering the applicant on the DGFT platform
- Filing the application for IEC code and uploading all the relevant documents
- Submission of any information or queries raised by the authorities
- Updating any details with the DGFT once the registration is obtained
- Providing end-to-end support in your international trade and formalities associated with IEC
Frequently Asked Questions
Q1: Can I import or export goods without having an Import Export Code Registration?
A: No. Import Export Code Registration is mandatory for import and export business and you cannot import or export goods without having IEC Code.
Q2: How can I get an IEC code?
A: To get an IEC certificate, you need to file an application with the Director General of Foreign Trade (DGFT) furnishing all the relevant details and uploading the required documents.
Q3: Is IEC code free?
A: Application for IEC code requires payment of nominal government fees and any professional fees if you hire an expert.
Q4: Is GST mandatory for IEC?
A: GST number is not mandatory for IEC. You can apply for IEC code even if you don’t have GST registration.
Q5: Can we update IEC once it gets generated?
A: Yes. You can update the IEC after it gets generated. The update can be done from the DGFT portal.
Q6: Are there any post registration compliances after obtaining IEC?
A: No. There are no post registration compliances after obtaining the Import Export Code. You are not required to file any return or ensure any compliances because of IEC.