After the completion of all research and analysis, the next step is to get registered with the various government authorities. Registration is must for every importer. In India every importer must obtained Importer Exporter Code (IEC) from DGFT.
Though in case an importer importing goods from Nepal or Myamar through Indo-Myanmar border or from China, through Gunji, Namgaya, Shipkila or Nathula ports provided that the value of a single consignment does not exceed Rs. 25,000/- then no such business registration is necessary. In case of Nathula port, the applicable value ceiling will be Rs.1, 00,000/-.
urther, exemption from obtaining IEC shall not be applicable for export of Special Chemicals, Organisms, Materials, Equipments and Technologies (SCOMET).
Registration with Director General of Foreign Trade (DGFT) – Registration with DGFT, ministry of commerce, Government of India is mandatory for every new importer. DGFT issued an IEC Code which is unique 10 digit number. IEC Code is mandatory to import or export in India. No person or entity shall make any Import or Export without IEC Code Number.
Necessary requirements for apply for IEC Code number:
Current Bank Account in a Bank who deals in Foreign Exchange
Exporters / Importers shall file an application in ANF 2A format for grant of e-IEC.
Application for IEC number which is known as “Aayaat Niryaat Form – AN2FA” can be submitted to the nearest regional authority of DGFT or can be submitted online at DGFT website: http://dgft.gov.in. An amount of Rs 1000/- is required to submit with the application fee.
The physical application containing required documents should reach DGFT RLA concerned within 15 days of its online submission.
E-mail is optional. If it is provided it will make communication quicker.
Documents required applying for IEC Code:
Letter on your company's letter head for issue of new IEC Code Number.
Two copies of the application in prescribed format. Each individual page of the application has to be signed by the applicant.
Part 1 & Part 4 has to be filled in by all applicants. In case of applications submitted electronically.
No hard copies of Part 1 may be submitted. However in cases where applications are submitted otherwise, hard copy of Part 1has to be submitted.
Only relevant portions of Part 2 need to be filled in.
Rs 250.00 Bank Receipt (in duplicate)/Demand Draft/EFT details evidencing payment of application covering fee in terms of Appendix 21B.
Certificate from the Banker of the applicant firm in the format given in Appendix 18A.
Self certified copy of PAN issuing letter or PAN (Permanent Account Number) Card issued by Income Tax Authority.
Two copies of passport size photographs of the applicant duly attested by the Banker of the applicant.
Self addresses envelope with Rs.25/- postal stamp for delivery of IEC certificate by registered post or challan/DD of Rs.100/- for speed post.
An electronic procedure has been created to upload various documents in exporter importer profile. Once uploaded, there will be no need to submit these documents / copies of these documents to Regional Authority repeatedly with each application. Its aim is to reduce the transaction cost, time and it is also a step towards paperless processing of different applications in DGFT. On-line form has been designed to ensure feeding of all the required information by prompting user wherever a field is left blank. Application has to submit scanned copies of PAN (Permanent Account Number) and bank certificate of deposits along with their application. Demand Draft and Electronic Fund Transfer are the two options for payment of fee.
Reduction in mandatory documents required for Export and Import
The number of mandatory documents required for exports and imports of goods from/into India have been reduced to three each.
One PAN-One IEC
Only one IEC shall be issued against a single PAN. Multiple IECs against a single PAN stands deactivated suo-motu after 31.03.2015.
Duplicate Copy of IEC No.
In case IEC Number is lost by importer or exporter they can obtain a duplicate copy. For this they are required to submit an affidavit and a fee of Rs.200/-.
Surrender of IEC
In case an importer discontinues his importing business, can surrender his allotted IEC to the issuing authority. After that, the issuing authority shall immediately cancel the IEC and electronically transmit it to DGFT and Customs authorities.