What is an Import Export Code (IEC)?
The Import Export Code (IEC) is a 10-digit identification number issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industries, Government of India. It is a mandatory requirement for businesses and individuals involved in the import or export of goods and services from India.
Is an IEC Mandatory? Who Needs It?
Yes, obtaining an IEC is essential for any individual or business entity engaged in international trade. The following categories must obtain an IEC:
- Businesses importing or exporting goods and services
- Proprietors of businesses (Individuals can obtain an IEC in their name)
- Companies, partnerships, LLPs, and other organizations involved in international trade
- Without an IEC, businesses cannot legally conduct import-export activities in India.
Validity of Import Export Code (IEC)
- The IEC is valid for a lifetime and does not require renewal or periodic filings.
- Once issued, the IEC is applicable across all branches and factories of the registered entity.
- Even if an organization does not require an IEC immediately, it is advisable to obtain it to facilitate future import-export operations seamlessly.
By obtaining an IEC, businesses can expand their trade beyond domestic boundaries and engage in global commerce effortlessly.
Purpose of Import Export Code (IEC)
The Import Export Code (IEC) is essential for businesses and individuals involved in international trade. The main purposes of IEC include:
Mandatory for Exporters: :
All exporters engaged in the export of goods or services from India must obtain an IEC to be quoted during shipments.
Enables Global Trade:
IEC allows businesses to seamlessly conduct import and export transactions without additional regulatory approvals. Without IEC, businesses cannot legally operate in the international market.
Required for International Payments:
Banks require the IEC to process payments from foreign buyers for exporters. Without it, foreign remittances cannot be received.
Application Process for IEC
The IEC application is submitted by the importer or exporter to the Directorate General of Foreign Trade (DGFT) along with supporting documents.
Documents Required for IEC Registration
To apply for an Import Export Code (IEC), the following documents and details are required:
Business & Identity Proof:
- Copy of Entity’s PAN Card
- Business Address Proof (Electricity Bill, Rent Agreement, etc.)
- Recent Photograph & KYC of Directors/Partners/Proprietor
Contact & Authorization Details:
- Valid Indian Mobile Number of Director/Partner/Proprietor
- Official Email ID of Director/Partner/Proprietor
- Letter of Authorized Signatory or Board Resolution (for companies)
- Charter Documents (MOA & AOA for companies, Partnership Deed for partnerships)
Bank Details:
Cancelled Cheque / Passbook / Bank Statement
How to Apply for IEC Easily?
You can simplify the IEC registration process by availing professional registration services. Just share the required documents physically or online (scanned copies), and the service provider will handle the entire process for you.
IEC Registration Process: Step-by-Step Guide
The Import Export Code (IEC) Registration is a completely online process, and you can apply for it through the Directorate General of Foreign Trade (DGFT) website by following these simple steps:
Step 1: Access the DGFT Website
- Visit the DGFT (Directorate General of Foreign Trade) website.
- Navigate to “Services”, click on “IEC”, and select “Online IEC Application”.
Step 2: Enter PAN Details
- Enter your Permanent Account Number (PAN).
- Click on “Search” to verify your PAN.
- If the entered PAN is incorrect, click “Reset” to re-enter.
Step 3: PAN Verification
- Enter the required details:
- Name (as per PAN)
- Date of Birth/Incorporation
- Captcha Code
- Click “Submit” for verification.
- If details are incorrect, authentication will fail, so ensure accuracy.
- If the details are correct, a message “Your PAN has been verified” will be displayed. Click “Proceed”.
Step 4: Register & Login for a New IEC Application
- Enter your email ID & mobile number for OTP verification.
- Enter the Captcha code and click “Generate OTP”.
- Enter the received OTP and click “Submit”.
- If OTP is not received, click “Regenerate OTP”.
Step 5: Fill in Business & Personal Details
- After submission, a 20-digit E-Commerce number will be displayed.
- Fill in your business details, including:
- Entity Name, Address, City, State, PIN Code
- Mobile Number, Email ID
- PAN details
- Business Type (Proprietorship, Pvt Ltd, LLP, etc.)
- Nature of Business (Manufacturer, Merchant Exporter, Service Provider, etc.)
- Click “Update & Save”.
Step 6: Provide Bank Details
- Enter the bank details of the firm, including:
- Bank Account Number
- Account Holder Name
- Branch Name & Address
- Click “Add” to save the details.
Step 7: Add Director/Proprietor/Partner Details
- Enter details of your Director/Proprietor/Partner/Karta/Managing Trustee, including:
- Director Identification Number (DIN) (if applicable)
- Name, PAN, Date of Birth
- Address & Contact Details
- Aadhaar Number (for proprietors)
- Click “Add” to save the information.
Step 8: Upload Required Documents
- Upload the following documents (in GIF or PDF format, max size 5MB):
- Business Address Proof: (Sale Deed, Lease Agreement, Rent Agreement, Utility Bills, etc.)
- Cancelled Cheque OR Bank Certificate
- NOC (No Objection Certificate) (if the address proof is not in the firm’s name)
Step 9: Payment & Verification
- Make the IEC application fee payment online.
- Verify and preview all the entered details.
- Click “Print Application” to keep a copy for records.
Step 10: Final Submission
- Click “Submit” for final submission of the IEC application.You can submit with or without a Digital Signature Certificate (DSC).
- Once successfully submitted, your IEC code is generally issued within 1-2 working days.
Government Fee for IEC Registration
Fee Amount: Rs. 500/-
Payment Mode: Electronic Fund Transfer (EFT) during the online submission of the IEC application.
Dispatch: Upon successful submission and approval, the IEC allotment letter with a 10-digit IEC code is sent to the applicant’s address via a self-addressed envelope.
Eligibility: After receiving the IEC code, the applicant is officially eligible to start an import and export business.