How to Apply for IEC Code in India?
IEC code registration is essential for Indian businesses engaging in international trade, including imports and exports. Issued by the Directorate General of Foreign Trade (DGFT), this 10-digit code is mandatory for initiating import and export activities in India. Obtaining the IEC registration certificate is crucial as it ensures smooth international trade operations by preventing delays at customs, additional costs, or even the destruction of goods.
If you’re launching a new export business or planning cross-border transactions, understanding the IEC code registration process is crucial. In this article, we’ll cover the required documentation, fees, and other key details to help you complete your IEC code registration smoothly and kickstart your global business journey.
What is Importer Exporter Code (IEC)?
The Importer Exporter Code (IEC) is a unique 10-digit code issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, Government of India. This code is a mandatory requirement for businesses and individuals engaged in international trade, including import and export activities. Without an IEC, businesses cannot legally conduct foreign trade operations, making it an essential component for anyone looking to expand their business beyond domestic borders.
How to Register for IEC Code?
The steps to the IEC code registration process are as follows:
- Visit the DGFT website
- Click on the Services tab on the homepage, followed by the IEC Profile Management option from the drop-down list
- A new page will open. Click on the ‘Apply for IEC’ option on the page
- Click on the Register option. Enter the required details ( select importer exporter) and click on the Send OTP button
- You will receive an OTP on the provided email address and mobile number. Enter the OTP and click on the Register button.
- Upon successful validation of the OTP, you will receive a notification in your email ID containing the temporary password, which you can change after logging into the DGFT website
- Now, once you have registered on the DGFT website, you can log in on the same website using the username and password that you have received
- Once you log in, you will be prompted to update your password, change the default password to your preferred one, and login with your new password again
- Click on the Apply for IEC option on the DGFT website dashboard
- Now click on the Start Fresh Application button
- Enter the general information, details of proprietor/partner/director/Karta/managing trustee, bank information, and other details, declare that all the information that you have provided is correct and accept the terms and conditions
- Next, Check the Application Summary and click on the Sign button to sign the application using a digital token or Aadhaar
- Confirm and proceed to make the payment against the application. For payment, you will be redirected to the Payment Gateway (Bharatkosh). The Application for the IEC Fee is Rs 500. After completing a successful payment, it will be redirected to the DGFT website. The receipt will be displayed. Download the receipt for future reference
The IEC Certificate will be sent via email. It can be downloaded after logging in to the DGFT website and clicking the Print IEC option under the IEC Profile Management
What documents do you need for IEC code registration?
To apply for an Importer Exporter Code (IEC) in India, it is crucial to ensure all the documents required are submitted correctly for successful registration. The documents required for IEC include specific items such as the PAN card, bank details, proof of address, and identification documents. Here’s a comprehensive list of the required documents for IEC Code registration:
Identity and registration proof
- PAN Card: A copy of the Permanent Account Number (PAN) card of the individual, firm, or company.
- TAN: Tax Deduction and Collection Account Number if applicable.
- Certificate of Incorporation (COI): For companies, a copy of the COI or other proof of establishment/registration for various business types (e.g., partnership deed for partnerships, private limited companies, registration certificate for societies or trusts)
Proof of identity for proprietors
One of the following identification documents:
- Voter ID
- Aadhaar card
- Passport copy
Proof of address
Any one of the following can be submitted as proof of business address:
- Sales deed
- Rent agreement
- Lease deed
- Utility bills (electricity, telephone, mobile)
- Memorandum of Understanding (MoU)
- Partnership deed
Note: If the address proof is not in the name of the applicant firm, a No Objection Certificate (NOC) from the owner is required along with the address proof.
Bank account verification
A cancelled cheque from a current bank account in the name of the firm or company. Alternatively, a bank certificate can be provided
Self-addressed envelope
A self-addressed envelope for the delivery of the IEC certificate via registered post
Digital Signature Certificate (DSC)
An active DSC or Aadhaar is required for submission
How to Modify IEC Details Online?
To modify your IEC details and ensure your importer exporter code registration is up to date, log in to the DGFT website, click My IEC, and then click Modify IEC.
Update the required information, attach the necessary documents, and apply after signing with your digital token. Once you complete the payment, you can download the receipt from the DGFT website.
What is IEC Code Registration Fees?
The IEC Code Registration fee structure includes two components:
- The official fee for applying for an IEC is ₹500. This payment can be made online using various methods such as credit/debit cards, UPI, or net banking.
- In case of making any modifications to your submitted details, you will need to pay an additional IEC code fee of ₹200
If you seek assistance from a professional to complete the IEC registration process, an additional consultation fee will apply. This fee is variable and depends on the professional’s expertise and experience. The IEC code comes with lifetime validity, meaning it remains valid for the entire lifespan of a business, negating the need for renewal processes.
How to Link Existing IEC Code with DGFT?
If you already have an IEC code that you want to link with DGFT, here are the steps to follow:
- Visit the official website of DGFT and login to the portal with a valid credential. If you are not registered on DGFT, register first following the steps mentioned above
- After logging in, click on the Link IEC button on the dashboard or from the Menu by following these steps: My Dashboard -> Importer Exporter Code (IEC) ->Link your profile to IEC
- Now Enter your IEC number, which you want to link to your profile, in the Importer Exporter Code field, and then click on Link IEC
- Now, the IEC number will be validated, and a Digital signature window Will open in a Pop-Up. Proceed with the Digital Signature process with your digital signature details
- After Success in the digital signature process, the IEC Linked successfully message is displayed
Why Was My IEC Code Application Rejected?
Your IEC code application may be rejected for a number of reasons Here are a few of them:
Not having prerequisite documents
Ensure all required documents are prepared and available before starting the application process. Missing documents can lead to delays or outright rejection of your application.
Inaccurate or incomplete details
Double-check all entries for accuracy. Providing incorrect information or leaving fields incomplete can result in verification issues and may prevent your IEC from being issued.
Not following instructions
Carefully read and follow the guidelines provided by the Directorate General of Foreign Trade (DGFT). Ignoring these instructions can lead to mistakes that complicate the application process.
Disregarding minor details
Pay attention to details such as spelling, spacing, and formatting. Small errors can cause significant problems during verification.
Forgetting annual updates
IEC holders must update their details annually, typically between April and June. Failing to do so can result in the IEC's deactivation, preventing import/export activities.
How To Fix errors in IEC Code registration?
If your IEC application is rejected, here are the steps you should take:
Review the rejection letter
Carefully read the rejection letter to understand the reasons for the denial. This will help you identify specific errors or omissions that need correction.
Re-apply if errors are correctable
If the issues mentioned in the rejection letter are correctable, make the necessary adjustments and reapply for the IEC. Ensure that all required documents are accurate and complete.
Consult an expert if you need further help
If you're unsure how to proceed or need assistance addressing the rejection, consider consulting a professional or business consultant specializing in IEC applications. They can provide guidance and help streamline the reapplication process.
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With automated compliance checks and foreign currency accounts for Indian companies, Skydo is the ideal companion for businesses venturing into global markets. It complements the benefits of your newly acquired IEC.
Is IEC mandatory?
Yes, an Import Export Code (IEC) is mandatory for businesses engaged in import or export activities in India. It's required to conduct international trade legally.
Do I need GST for IEC?
Who are exempted from IEC?
How much time does it take to get the IEC code?
When do You Need to Renew Your IEC code?
