Almost everyone wants to expand their company beyond their domestic market in these days of fierce competition. In order to do business globally, you need to follow several procedures and laws in place and get different registrations and licenses. Before you can go global, you need to follow several procedures and laws in place. It is one of the prerequisites if you plan to import or export from India. The Importer-Exporter Code is also known as the HS Code.
DGFT (Director General of Foreign Trade) issues the IEC (Import Export Code) to anyone who intends to start an import/export business in the country. It has a lifetime validity and is a 10-digit code. It is mainly importer merchants who cannot import goods without the Import Export Code, and exporter merchants cannot benefit from the Export Scheme without the IEC.
IEC is required in the following situations
- Customs authorities need it when an importer has to clear his shipments from customs.
- Banks need the money when importers send money abroad through them.
- A customs port needs this information when an exporter has to send his shipments.
- Foreign currency received directly into an exporter’s bank account must be declared by the bank.
IEC Registration Steps
- You can visit the website of the DGFT.
- On the homepage, click the ‘Services’ tab.
- From the drop-down menu, select ‘IEC Profile Management’.
- You will be taken to a new page. Select ‘Apply for IEC’.
- Register by clicking on the ‘Register’ option. Fill out the required information and click ‘Send OTP’.
- Click on ‘Register’ after entering the OTP.
- Your temporary password will be sent to you as soon as the OTP is validated. Once you have logged into the DGFT website, you can change it.
- By entering your user name and password, you can access the DGFT website after registering.
- Visit the DGFT website and click on the ‘Apply for IEC’ button.
- Upload the requested documents, pay the fees, and click ‘Submit and Generate IEC Certificate’ when you have finished filling out the application form (ANF 2A format).
- After the DGFT generates the IEC code, you can take a printout of your certificate.