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Import Export Code (IEC) Registration in Delhi

Import Export Code Registration in India– DGFT Process, Fees, AD Code, RCMC & Annual Update

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The Import Export Code Registration is a ten-digit identifier issued by the DGFT under the Foreign Trade (Development and Regulation) Act, 1992, linked to your PAN, and mandatory for commercial import and export. The government fee is ₹500 and the application is filed online in Form ANF 2A on the DGFT portal. The IEC has lifetime validity with no renewal, but a mandatory annual update between April and June — miss it and the code is deactivated. What most guidance omits, and what actually determines whether you can ship, is that an IEC alone is not enough: you also need AD Code registration at each port, ICEGATE registration, and — to claim any export incentive — an RCMC from the relevant Export Promotion Council. All three are dealt with below.

The IEC is the first legal gateway for any business taking its products or services beyond Indian shores. It is the registration that connects your business to the customs system, the DGFT framework and the banking channels that process foreign currency. Without it, no consignment can legally enter or leave the country for commercial purposes.

Vakilkaro handles IEC registration for first-time exporters and established trading houses alike — and, just as importantly, tells you about the registrations that must follow it before you can actually ship.

Introduction

What is Import Export Code (IEC) Registration?

IEC registration is the process of obtaining a unique ten-digit identification number from the Directorate General of Foreign Trade. It is mandatory for all importers and exporters of goods in India, is governed by the Foreign Trade (Development and Regulation) Act, 1992, and is linked to the PAN of the entity.

In practical terms, the IEC is to your international trade what PAN is to your tax identity — a permanent number identifying you in every cross-border transaction. Customs quotes it on every shipping bill and bill of entry. Your bank quotes it when processing an inward or outward foreign remittance. The DGFT uses it to track your trade activity and your eligibility for schemes.

One PAN, one IEC. Because the code is tied to the entity’s PAN, a business can hold only one IEC. This keeps the system clean and allows customs and DGFT to see all of an entity’s trade under a single identifier — and it is why getting the details right at application matters, since the IEC becomes the permanent backbone of your trade compliance.

The certificate. The IEC is issued electronically and downloaded from the DGFT portal. It carries the firm name, address and IEC number, and is shared with banks, customs brokers and overseas partners as required.

Foreign Trade (Development and Regulation) Act, 1992 — the statute providing the regulatory backbone for foreign trade

Foreign Trade Policy — the operating framework setting out the schemes, procedures and conditions

Handbook of Procedures — the detailed procedural rules issued alongside the Policy

DGFT, under the Ministry of Commerce and Industry — the nodal authority issuing and maintaining IEC records

Customs Act, 1962 and FEMA, 1999 — governing clearance of goods and the foreign exchange side of the transaction respectively

Carrying on import or export for commercial purposes without a valid IEC exposes the business to penalty and the goods to detention at customs.

The DGFT portal is now fully digitised and validates details in real time against PAN and Aadhaar databases. That has made application far easier than it once was, but it has also made accuracy at entry decisive — a mismatch that would once have been resolved by an officer now produces an automatic rejection.

Eligibility

Eligibility Criteria for IEC Registration

Entities eligible

Sole proprietorships and individuals

Partnership firms

Limited Liability Partnerships

Private limited and public limited companies

Hindu Undivided Families

Trusts and societies

Government undertakings

What you need

A valid PAN in the name of the applicant entity

A bank account in the entity’s name

A registered business address in India with supporting proof

Aadhaar of the proprietor, partner, director or authorised signatory, for e-signing

No minimum turnover, no prior trading experience, and no restriction on the nature of goods other than for restricted, prohibited and SCOMET items

The criteria are deliberately broad. A proprietor working from a home office and a large public company running multi-location operations apply through the same process, with documentation differing by entity type.

Who is Exempted from IEC Registration?

  • A further practical point: since PAN-based identification was integrated into the system, the PAN itself functions as the IEC for the entity, with the DGFT issuing the code against that PAN.

On the GST question. IEC and GST are separate registrations issued by different authorities under different laws. A business can hold an IEC without being GST-registered if it is below the threshold and not otherwise required to register. However, an exporter claiming refund of input tax or zero-rating under GST will need GST registration — so for most goods exporters the two go together in practice.

Why Do You Need an IEC?

Customs clearance. The code is quoted on every shipping bill and bill of entry. Without it, consignments cannot be cleared.

Bank transactions. No authorised dealer bank will process an export remittance or an import payment without it.

Export incentives. Eligibility for schemes under the Foreign Trade Policy begins with the IEC.

Market access and credibility. Overseas buyers, freight forwarders and banks treat a government-issued trade identity as a baseline sign of legitimacy.

Lifetime validity. One registration, no expiry — subject only to the annual update.

A correction worth making. Guidance frequently states that the IEC is “recognised by customs authorities all around the world”. That is not accurate. The IEC is an Indian identifier, used by Indian customs, Indian banks and the DGFT. Foreign customs authorities do not use it and do not check it. It builds credibility with overseas counterparties because it evidences that you are a recognised Indian trade entity — but it confers no status abroad, and an exporter should not represent it as an international registration.

Is IEC Mandatory for Service Exporters?

This is where most confusion arises, particularly among IT companies, consultancies, designers and freelancers.

The general position. A pure service exporter, receiving payment through normal banking channels and not claiming any benefit under the Foreign Trade Policy, is not required to hold an IEC. Service exports of this kind are governed by FEMA and are handled by your bank without a DGFT identifier.

When it becomes necessary

When claiming any benefit or incentive under the Foreign Trade Policy

Where the service involves physical movement of goods — for example a design service delivered with prototypes, or a repair service involving equipment

Where the bank or the transaction structure requires IEC validation

Where the service exporter also imports goods — software media, equipment, samples

A point of practical judgement. Many banks will process software and consultancy remittances against a Softex filing or the standard FEMA documentation without an IEC. Others ask for one as a matter of internal practice. Because obtaining an IEC costs ₹500 and takes days, many service exporters obtain it anyway to remove the question — which is a reasonable decision, but should be a conscious one rather than the result of being told it is mandatory when it is not.

What an IEC Does Not Cover — The Registrations That Must Follow

This is the section most IEC pages omit entirely, and it is the reason so many first-time exporters find themselves unable to ship despite holding a valid code.

The IEC gets you an identity. It does not, by itself, get you a shipment out of the country or a benefit into your account.

Each of these has its own timeline. An exporter who obtains the IEC and then discovers the AD Code requirement at the point of shipping loses days at best and a shipment window at worst. Planning them together is the difference between a first export that goes smoothly and one that does not.

AD Code Registration — Without This You Cannot Ship

If there is one thing on this page a first-time exporter must know, it is this.

What it is. The Authorised Dealer Code is a fourteen-digit number issued by the bank branch through which you will receive your export proceeds. Your bank issues it on its letterhead in the prescribed format, quoting your IEC and your account details.

Why it matters. The AD Code must then be registered at every customs station — every port, ICD, airport or land customs station — from which you intend to export. Until it is registered at that specific station, the customs system will not allow a shipping bill to be generated for your consignment from that location. Your goods can be sitting at the port, correctly documented in every other respect, and simply cannot be exported.

What this means practically

AD Code registration is port-specific. Registering at Nhava Sheva does not help you ship from Mundra, or from an inland container depot near your factory, or from an air cargo terminal.

A new port means a new registration. Adding a shipping route requires the AD Code to be registered at the new station before the first consignment moves.

The registration is done through ICEGATE or at the customs station, with the bank’s AD Code letter and your IEC.

It links your bank account to your exports, which is how export proceeds and duty drawback or RoDTEP credits are routed back to you.

The timeline. Obtaining the AD Code letter from the bank typically takes a few working days; registering it at a customs station takes a few more. It is not difficult, but it is not instant, and it cannot be done at the last moment.

ICEGATE Registration

ICEGATE is the national customs electronic gateway. Registration on it is required for:

Filing and tracking shipping bills and bills of entry

Registering the AD Code and bank account for a customs station

Accessing the duty credit scrip ledger, through which RoDTEP and similar benefits are credited

Receiving customs communications and queries

Duty payment and challan management

For most exporters the actual filing is done by a customs house agent or freight forwarder, but the registration should be in the exporter’s own name, so that you retain visibility of your own shipping bills, your scrip balances and your queries. Exporters who leave everything to an agent frequently find they cannot access their own credit ledger when they need it.

RCMC — The Certificate That Actually Unlocks Incentives

Another major omission from most IEC guidance, and the reason many exporters never claim benefits they were entitled to.

What it is. A Registration-cum-Membership Certificate is issued by an Export Promotion Council, commodity board or authority relevant to your product. Examples include APEDA for agricultural and processed food products, the Spices Board for spices, FIEO as the general council, EEPC for engineering goods, AEPC for apparel, the Gem and Jewellery EPC, the Handicrafts EPC, PHARMEXCIL for pharmaceuticals and CHEMEXCIL for chemicals, among others.

Why it matters.An RCMC is a precondition for claiming benefits or authorisations under the Foreign Trade Policy. An exporter holding a valid IEC but no RCMC cannot obtain an Advance Authorisation, cannot obtain an EPCG authorisation, and cannot claim the scheme benefits its exports have generated.

Points to know

The RCMC must be from the council relevant to your main export product

Application is now made through the DGFT common digital platform

It carries a validity period and must be renewed

Exporters dealing across product categories may require registration with more than one council

Council membership also brings market intelligence, trade fair participation and buyer-seller meets, which for a new exporter is often as valuable as the scheme access

Benefits

Benefits of Import Export Code Registration

Business expansion. The IEC removes the primary regulatory barrier to trading internationally. A textile exporter in Rajasthan, a spice trader in Kerala, a software company in Bengaluru or a handicraft seller on an international marketplace all operate on the same code.

Access to Foreign Trade Policy schemes. With the IEC, and in most cases an RCMC, a business becomes eligible for duty remission, duty-free import authorisations and capital goods schemes.

Lifetime validity. No expiry, no renewal — only the mandatory annual update.

Banking access. Authorised dealer banks will process inward and outward trade remittances against a valid IEC.

Credibility. A government-issued trade identity strengthens your position with overseas buyers, suppliers, freight forwarders and banks.

A very low cost of entry. ₹500 in government fee against lifetime access to international markets is among the best returns available on any Indian business registration.

Export Incentive Schemes — The Current Position

This section corrects the most significant factual issue in most published IEC guidance, including material still circulating widely.

MEIS and SEIS are no longer available.

The Merchandise Exports from India Scheme (MEIS) was discontinued with effect from 1 January 2021

The Service Exports from India Scheme (SEIS) has likewise been discontinued, with claims closed for services rendered after the notified cut-off

Any guidance describing MEIS or SEIS as current benefits of holding an IEC is out of date. This matters commercially — an exporter planning margins around MEIS scrips that no longer exist has mispriced its business.

What is available instead

RoDTEP — Remission of Duties and Taxes on Exported Products. The principal replacement for MEIS. It refunds embedded central, state and local duties and taxes not otherwise rebated, at notified rates by tariff line, credited as a transferable duty credit scrip in the ICEGATE ledger. The exporter must declare the RoDTEP claim in the shipping bill at the time of export — a claim not made at that point cannot be made later, which is one of the most common and most expensive oversights in Indian export practice.

RoSCTL — Rebate of State and Central Taxes and Levies, for the apparel and made-ups sectors.

Duty Drawback, refunding customs duty on imported inputs used in exported goods.

Advance Authorisation, permitting duty-free import of inputs against an export obligation.

EPCG, permitting duty-free import of capital goods against an export obligation.

Interest equalisation and credit support schemes, whose availability has varied over time and should be checked currently.

Market Access Initiative support for trade fairs and market development.

A general caution. Scheme names, rates, eligibility conditions and even the existence of schemes change with each Foreign Trade Policy and with notifications between policies. Confirm the current position before building a costing around any incentive. We do this as part of the engagement rather than working from a static list.

The Export Promotion Capital Goods (EPCG) Scheme

The EPCG scheme permits import of capital goods at zero customs duty for pre-production, production and post-production, against an export obligation.

Key features

Zero customs duty on eligible capital goods, and exemption from IGST and compensation cess where notified

Export obligation equivalent to six times the duty saved, to be fulfilled over six years from the date of authorisation

An average export obligation may also apply, requiring the exporter to maintain its previous average export level in addition to the specific obligation

Available to manufacturer exporters, merchant exporters tied to a supporting manufacturer, and service providers

Capital goods must be installed at the declared premises and used for export production, with an installation certificate required

An RCMC is required to obtain the authorisation

The obligation must be monitored and evidenced, with periodic reporting to DGFT

Failure to meet the export obligation results in a requirement to pay the saved duty with interest, and can attract penalty

The honest caution. EPCG is a genuinely valuable scheme for a manufacturer investing in plant, but the export obligation is a real commitment with real consequences. It should be entered into against a realistic export plan, not against an optimistic one — and the obligation tracking should be set up from day one rather than reconstructed in year five.

Documents

Documents Required for IEC Registration

Individuals and proprietors

PAN card of the individual

Aadhaar, voter ID or passport as identity proof

Bank certificate in the prescribed format, or a cancelled cheque bearing the applicant’s name printed on it

Passport-size photograph

Address proof of the business premises

Active mobile number and email linked to Aadhaar for e-signing

Companies, LLPs and partnership firms

PAN of the entity

Certificate of Incorporation, partnership deed or LLP agreement

Board resolution or authorisation for the signatory

Bank certificate or cancelled cheque in the entity’s name

Address proof of the registered office

Digital Signature Certificate of the authorised signatory, or Aadhaar-based e-sign where available

MoA and AoA or LLP agreement, where called for

On signing. The DGFT portal supports Aadhaar-based e-signing as well as DSC. For a proprietor with Aadhaar linked to a mobile number, e-sign is considerably simpler and avoids the DSC compatibility problems that stall many applications. Companies and LLPs generally use a Class 3 DSC.

On the bank certificate. It is here that most applications fall through. The certificate should be in the acceptable format for DGFT, on the letterhead of the bank, with proper signatures and stamps, and the entity name should be an exact match. The format is not known to many branch executives, which is the reason for providing the format to them.

Step-by-step Process

Steps Involved in IEC Registration

  • Step 1: Register on the DGFT portal at dgft.gov.in using the entity’s email and mobile, and complete OTP verification.
  • Step 2: Select “Apply for IEC” and begin the application in Form ANF 2A.
  • Step 3: Enter entity details — PAN, name exactly as per PAN, constitution, address, directors or partners, and the nature of the business. The portal validates against PAN and Aadhaar databases in real time.
  • Step 4: Enter bank details and upload the bank certificate or cancelled cheque.
  • Step 5: Upload the remaining documents in the prescribed format and size.
  • Step 6: Pay the government fee of ₹500 online.
  • Step 7: Sign and submit, using DSC or Aadhaar e-sign.
  • Step 8: Track the application on the portal using the reference number, and respond to any deficiency raised.
  • Step 9: Download the IEC certificate from the portal on approval.
  • Step 10: Proceed to the registrations that follow — AD Code from your bank and registration at your ports, ICEGATE registration, RCMC from the relevant council, and GST where applicable.

Fees

Fee for Import Export Code Registration

The government fee is among the lowest of any Indian business registration, and the return on it — lifetime access to international markets and eligibility for duty-saving schemes — is disproportionate. Vakilkaro’s professional charges are quoted separately and transparently, and include the follow-on registrations where you engage us for them.

Validity of the Import Export Licence

The IEC is valid for the lifetime of the entity

There is no expiry and no renewal

But there is a mandatory annual update, dealt with in the next section

The IEC remains valid until surrendered by the holder, cancelled by DGFT, or deactivated for failure to update

The difference between renewal and update should be maintained, because people who provide guidance confuse the two and deactivate some items. The IEC will not be renewed; it will have to be confirmed every year.

The Mandatory Annual Update

Every IEC holder must electronically update and confirm the IEC details on the DGFT portal every year, between April and June.

The update is required even where nothing has changed

It is required even where there has been no import or export activity in the year

There is no fee where it is filed within the window

Failure to update results in the IEC being deactivated

What deactivation means in practice. A deactivated IEC cannot be used. Customs will not clear consignments against it, banks will flag remittances, and any scheme claim in progress stalls. Businesses typically discover the deactivation at exactly the wrong moment — when a container is at the port or a payment is inbound.

Reactivation is possible. Where deactivation has occurred solely for non-updation, the IEC can be reactivated by completing the pending update on the portal. But the interruption is real, and it is entirely avoidable.

This single recurring deadline is the most commonly missed compliance obligation in Indian foreign trade, and it is one Vakilkaro diarises and files for its clients.

IEC Deactivation and Reactivation

Grounds on which an IEC may be deactivated or suspended

Failure to complete the annual update in the prescribed window

Non-realisation of export proceeds and consequent caution listing

Contravention of the Foreign Trade Policy or the Act

Furnishing false or incorrect information

Action by DGFT following a denied entity listing or enforcement proceeding

Reactivation

Where deactivation was for non-updation, complete the pending update on the portal

Where deactivation followed enforcement or caution listing, the underlying issue must be resolved first — typically realisation of outstanding export proceeds and regularisation with the bank and DGFT

In serious cases the entity may be placed on the Denied Entity List, which blocks trade activity entirely until resolved

IEC vs GST vs PAN

All three sit in the PAN ecosystem but perform entirely different functions. A goods exporter will normally hold all three, and will additionally need AD Code registration and an RCMC.

Restricted, Prohibited and SCOMET Items

An IEC permits trade in freely importable and exportable goods. It does not authorise everything.

Prohibited items cannot be imported or exported at all

Restricted items require a specific licence or authorisation from DGFT in addition to the IEC

State Trading Enterprise items may be traded only through designated agencies

SCOMET items — Special Chemicals, Organisms, Materials, Equipment and Technologies — are dual-use goods and technologies with potential military or proliferation application, and require a separate SCOMET authorisation under a strictly administered framework. This catches more businesses than expected, including in chemicals, electronics, software, drones, sensors, certain machine tools and biological materials.

Product-specific regulatory approvals apply independently — FSSAI for food, drug licensing for pharmaceuticals, BIS where applicable, wildlife and CITES clearances, phytosanitary certification for plant products

The practical advice. Before your first shipment, check the ITC (HS) classification of your product and its import and export policy status. Discovering at the port that your product is restricted, or falls within SCOMET, is a materially worse outcome than establishing it beforehand.

Export Proceeds, e-BRC and the Caution List

Getting the goods out is half the transaction. Getting paid, and evidencing that you were paid, is the other half — and it has its own compliance consequences.

Realisation timelines. According to the FEMA rules, export receipts need to be realized and remitted in time as per the stipulated period, which is normally nine months after the date of export, subject to some exceptions.

EDPMS. The Export Data Processing and Monitoring System is the RBI system through which banks track every shipping bill against its realisation. An unreconciled shipping bill sits open in EDPMS against your name, and your bank will pursue it.

e-BRC. The electronic Bank Realisation Certificate is generated by your bank confirming receipt of export proceeds against a shipping bill. It is the evidence required to claim most export incentives, and to close the EDPMS entry. An exporter who does not ensure e-BRCs are generated finds both problems at once — an open EDPMS entry and an unclaimable incentive.

The Caution List. Exporters with persistently unrealised proceeds are placed on the RBI caution list, communicated to banks. A caution-listed exporter faces severe restrictions — banks will require advance payment or an irrevocable letter of credit before handling further shipments, and DGFT benefits are blocked.

The practical discipline. Trace all shipment invoices to their corresponding e-BRC. Close down the EDPMS entries. In the case of defaulting buyers, involve your bank in the process of write-off or extension at an early stage.

Status Holder Recognition

Exporters achieving prescribed export performance over a defined period are granted Status Holder recognition by DGFT, in graded categories from One Star Export House upwards.

Benefits typically include

Authorisation to self-certify the origin of goods under certain preferential trade agreements

Exemption from furnishing bank guarantees for schemes under the Foreign Trade Policy

Priority and faster clearance of applications and consignments

Simplified procedures across a range of DGFT processes

Eligibility to establish export warehouses as permitted

Status recognition materially reduces procedural friction and working capital tied up in bank guarantees for a growing exporter. The thresholds are performance-based so it is worth tracking your cumulative export performance against them.

Common Challenges in IEC Registration

Technical

Portal issues during peak periods

DSC compatibility problems, which Aadhaar e-sign largely avoids for eligible applicants

PAN–Aadhaar name mismatch, causing automatic validation failure

Aadhaar mobile linkage absent, blocking e-sign

Documentation

Bank certificate format not matching DGFT requirements

Name mismatches across PAN, bank account and address proof

Address proof discrepancies

Incorrect entity or business category selection

Illegible or oversized uploads

Post-registration

Missing the annual update window

Not knowing about AD Code registration until the goods are at the port

Not obtaining an RCMC, and forfeiting incentives

Not declaring RoDTEP on the shipping bill

Compliance

Post-Registration Compliance and Modifications

Annual

Update the IEC on the DGFT portal between April and June, every year, without exception

As changes occur, modify the IEC for

Change in entity name or legal constitution

Change in registered address

Change in bank account details

Addition or removal of proprietor, partners or directors

Change in email or mobile, which matters because DGFT communicates through them

Change in the nature of business

Alongside

Keep the AD Code registered at every port you use, and add new ports before shipping from them

Renew the RCMC before expiry

Track e-BRCs and close EDPMS entries

Monitor EPCG and Advance Authorisation export obligations against actual performance

Watch for Status Holder eligibility as export performance grows

Who Should Apply for an IEC? Real-World Use Cases

Merchant exporters buying domestically and selling overseas, who need the IEC to receive export remittances and, with an RCMC, to claim incentives

Manufacturer exporters producing for foreign markets, who rely on the IEC for clearance and to access EPCG when importing machinery

Importers of raw materials, components or finished goods, who cannot clear consignments without it

E-commerce sellers shipping internationally, including through global marketplace fulfilment programmes

Service exporters who need it for FTP benefits or where goods movement is involved

Startups and MSMEs entering export markets, for whom it is frequently the first trade registration

Traders in samples and prototypes moving goods commercially, even in small values

Common Mistakes to Avoid

Mismatched details between PAN, Aadhaar, bank account and address proof — the portal validates automatically and rejects on mismatch

Wrong bank certificate format, the single most common documentation failure

Missing the April–June annual update, resulting in deactivation

Selecting the wrong entity category, requiring a fresh filing

Stale contact details, causing DGFT notices to be missed

Assuming the IEC is enough to ship — AD Code registration at the port is what actually enables a shipping bill

Not obtaining an RCMC, and being unable to claim any scheme benefit

Not declaring RoDTEP on the shipping bill, which forfeits the benefit permanently for that consignment

Planning around MEIS or SEIS, which no longer exist

Taking on an EPCG export obligation without a realistic plan or a tracking system

Ignoring unrealised export proceeds, and drifting towards caution listing

Not checking ITC (HS) policy status for restricted or SCOMET items before the first shipment

How Vakilkaro’s IEC Registration Process Works?

Step 1 — Consultation. We establish what you are trading, where, and in what capacity, confirm whether you actually need an IEC, and map out every other registration your first shipment will require.

Step 2 — Document collection and review. A detailed checklist, including a bank certificate template so your branch issues it in DGFT’s accepted format, with pre-validation of each document against PAN and Aadhaar records.

Step 3 — DGFT filing. We complete Form ANF 2A, upload documents to specification, and manage the e-sign or DSC step.

Step 4 — Fee payment, submission and tracking. Government fee paid, reference number shared, application monitored and any deficiency answered promptly.

Step 5 — Certificate delivery. Your IEC downloaded and delivered.

Step 6 — The registrations that follow. AD Code letter from your bank and registration at each of your ports, ICEGATE registration in your own name, RCMC from the right Export Promotion Council, and GST where required.

Step 7 — Ongoing support. Annual update filed within window Changes managed as your business changes RCMC renewal tracked Guidance on scheme eligibility as Foreign Trade Policy changes.

Why Choose Vakilkaro?

We tell you what else you need. IEC alone does not get a container onto a vessel. AD Code, ICEGATE and RCMC are part of how we scope the engagement, not an afterthought.

Current on the scheme position — RoDTEP and RoSCTL rather than MEIS and SEIS, and honest about what is actually available today

Bank certificate handled properly, with the correct template, which removes the most common cause of rejection

Aadhaar e-sign or DSC, whichever suits your entity, avoiding the compatibility problems that stall self-filed applications

Annual update diarised and filed, so your IEC is never deactivated at the moment you need it

AD Code port planning — registered at the ports you will actually ship from, before you ship

RCMC guidance — the right council for your product, so your incentives are claimable

RoDTEP declaration guidance, so your first shipping bills do not silently forfeit benefit

EPCG and Advance Authorisation support, including obligation tracking

Transparent pricing with no hidden charges

Pan-India service across all entity types and all ports

Connect with the Vakilkaro trade team to obtain your IEC — and to be genuinely ready to ship, not just registered.

Questions, answered

Frequently asked questions

A ten digit identification number allotted by DGFT as per the Foreign Trade (Development and Regulation) Act, 1992, which is related to the PAN of the business entity and compulsory for conducting foreign trade.

The Directorate General of Foreign Trade, under the Ministry of Commerce and Industry.

Commercial Import and Export, of course. Consignments would not be cleared by customs nor trade payments processed by banks without one. There are exceptions, and pure service exporters who have not claimed FTP facility are normally not mandated to have one.

Proprietorships, partnership firms, LLPs, private and public limited companies, HUFs, trusts, societies and government undertakings — with a valid PAN, a bank account and a registered business address in India.

Ministries and Departments of government, registered charities who are not involved in trading, goods for personal consumption, personal baggage, and specific border trade up to value limit. Exports of services which do not seek any FTP benefit do not need it.

Most likely not, in situations where payments are made through regular banking transactions and there is no claim for any FTP benefits. However, it becomes essential if there is a claim for FTP benefits, physical movement of goods, or when transaction structures demand it.

Yes — they are separate registrations under different laws. But an exporter claiming input tax refund or zero-rating will need GST registration, so most goods exporters hold both.

₹500, paid online on the DGFT portal. Modification carries a separate prescribed fee. Professional charges are additional.

Form ANF 2A, filed online on the DGFT portal.

Companies, LLPs and firms generally sign with a Class 3 DSC. Aadhaar-based e-signing is available and is considerably simpler for proprietors whose Aadhaar is linked to a mobile number.

For an individual — PAN, identity proof, bank certificate or cancelled cheque, photograph and address proof. For an entity — PAN, incorporation or constitution document, authorisation, bank certificate in the entity’s name, address proof and DSC.

A certificate from your bank in the format DGFT accepts, confirming the account. Many branch officials are unfamiliar with the exact format, and a generic letter is rejected. Using the correct template avoids the most common cause of application failure.

With correctly formatted documents and no validation mismatch, processing is quick. Delays arise almost entirely from name mismatches, bank certificate format and technical signing issues.

Lifetime. There is no expiry and no renewal — but there is a mandatory annual update.

No.But you must update it on the DGFT portal every year between April and June, even if nothing has changed and even if you have not traded. Failure to do so results in deactivation.

The IEC is deactivated. Customs clearances and bank remittances through it are frozen. It can be reactivated through completion of the outstanding update, but the disruption usually occurs at the worst possible time.

On any change in entity name or constitution, registered address, bank account, proprietor, partners or directors, contact details, or nature of business.

No, it’s an Indian identification code that the Indian customs, Indian banks and DGFT uses. The foreign customs will not be using or verifying this. It lends credibility to foreign counterparties, but does not give any standing abroad.

No, and this is the most important practical point. You also need an AD Code from your bank registered at each port you ship from, ICEGATE registration, an RCMC if you intend to claim any incentive, GST where applicable, and any product-specific licences.

A fourteen-digit code issued by your bank, which must be registered at every customs station you export from. Until it is registered at that station, the system will not generate a shipping bill for your consignment. It is port-specific, and a new port requires a new registration.

Managing the shipment and bills of entry documentation, registration of your AD code and bank account and your duty credit scrip ledger management of RoDTEP and others facilities. Registration should be made in your own name and not only through your agent.

A Registration-cum-Membership Certificate from the Export Promotion Council or commodity board relevant to your product. It is a precondition for claiming benefits or authorisations under the Foreign Trade Policy — an exporter without one cannot claim scheme benefits its exports have generated.

No. MEIS was discontinued from 1 January 2021 and SEIS has likewise been discontinued. Guidance still describing them as current benefits is out of date.

RoDTEP as the principal remission scheme, RoSCTL for apparel and made-ups, Duty Drawback, Advance Authorisation and EPCG, alongside market development support. Scheme names, rates and conditions change, so confirm the current position before costing around them.

A scheme refunding embedded duties and taxes not otherwise rebated, credited as a transferable scrip. The claim must be declared in the shipping bill at the time of export — it cannot be made afterwards, and a consignment shipped without the declaration loses the benefit permanently.

Capital goods can be imported duty-free in exchange for fulfilling an obligation to export six times the amount of the duty that would have been paid, in six years, on average. The failure to fulfill this obligation will result in payment of the saved duty together with interest.

Special Chemicals, Organisms, Materials, Equipment and Technologies — dual-use goods requiring a separate export authorisation in addition to the IEC. The list catches chemicals, electronics, software, drones, sensors and biological materials among others, and should be checked before your first shipment.

The electronic Bank Realisation Certificate confirming receipt of export proceeds against a shipping bill. It is the evidence required for most incentive claims and for closing the EDPMS entry with your bank.

FEMA requires that funds be realised during the stipulated time frame. Unadjusted shipping documents continue in the system for EDPMS, and continuous failure to realise funds results in caution listing, after which banks demand advance payments or letters of credit for future shipments.

DGFT recognized graded recognition on the basis of export performance, self certification of origin under certain trade agreements, exemption from bank guarantees for FTP schemes and faster processing.

No.The IEC is linked to the entity’s PAN, so one entity holds one code.

Yes. A holder may surrender it on the portal on closure or where it is no longer needed, and DGFT informs the concerned authorities. Until surrendered, the annual update obligation continues.

Goods moving for genuine personal, non-commercial purposes within prescribed limits are generally exempt. Any commercial movement — including commercial samples in the course of trade — requires a valid IEC.

You must have a registered business address in India with relevant proof. A home office or small business address is also fine, and a proprietorship can have an IEC based on that.

Because we register the IEC correctly and then tell you the truth about what else you need — AD Code at your ports, ICEGATE in your own name, RCMC from the right council, and the RoDTEP declaration on your first shipping bill — and because we file your annual update every year so the code is never deactivated when you need it most. Connect with the Vakilkaro trade experts today and start exporting properly prepared, not merely registered.

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