How to get Importer Exporter Dode (IEC)?

Importer Exporter Code (IEC) is a 10-digit identification number issued by the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, Government of India. It is a mandatory requirement for any person or business entity looking to import or export goods and services from India.

Why is an IEC Necessary?

An IEC acts as the primary identity for a business in the international market. It is required in several critical scenarios:

• Customs Clearance: To clear shipments through customs authorities.
• Bank Transactions: To send or receive money in foreign currency via banks.
• Government Benefits: To claim incentives under various export schemes like RoDTEP (Remission of Duties and Taxes on Exported Products).

Essential Document Checklist

Before starting the online application, ensure you have scanned copies (typically in PDF or JPEG format) of the following:

• PAN Card: Of the individual (for proprietorship) or the business entity.
• Identity & Address Proof: Aadhaar Card, Voter ID, or Passport of the applicant.
• Bank Details: A cancelled cheque or a bank certificate showing the account holder’s name and account number.
• Business Address Proof: A rent agreement, electricity bill, or sale deed of the office location.
• Entity Registration: For companies or partnerships, the Incorporation Certificate or Partnership Deed is required.

Step-by-Step Registration Process

The application process is entirely digital and typically takes 1–2 working days for approval.

Step 1: Visit the DGFT Portal. Go to the official website of the Directorate General of Foreign Trade (dgft.gov.in).

Step 2: User Registration. Click on “Apply for IEC” and register as a new user. You will need to provide your name, email address, mobile number, and pin code. Verify your details using the OTP sent to your mobile and email.

Step 3: Fill out Form ANF-2A. Once logged in, select “Apply for IEC” and fill out the electronic application form (ANF-2A). This includes:

• General Entity Details: Name, PAN, and nature of business.
• Branch Details: Details of any additional business locations.
• Director/Partner Details: Information about the people managing the entity.
• Bank Account Details: Essential for linking trade transactions.

Step 4: Upload Documents. Attach the digital copies of the documents listed in the checklist. Ensure the scans are clear to avoid rejection during the automated or manual verification process.

Step 5: Payment of Fee. Pay the government application fee, which is currently ₹500. This can be done via Net Banking, Debit/Credit Card, or UPI.

Step 6: Submission and Issuance. After payment, submit the application. The system will process the data, and in most cases, the e-IEC certificate is generated automatically and sent to your registered email. You can also download it directly from the DGFT dashboard.

Post-Registration: Mandatory Annual Update

A common misconception is that once an IEC is issued, no further action is required. However, according to current regulations:

• Annual Re-validation: Every IEC holder must update their profile on the DGFT portal annually between April and June.
• Compliance: Even if there are no changes in the business details, the holder must log in and confirm that the information is correct. Failure to do so may result in the IEC being deactivated.

Key Benefits of IEC

• Lifetime Validity: The code does not expire and does not require periodic renewal (only the annual update).
• No Return Filing: Unlike GST, there is no requirement to file monthly or annual returns specifically for the IEC.
• Global Expansion: It allows small businesses to sell on global platforms like Amazon Global or eBay, reaching a worldwide customer base.
• Legal Protection: It ensures all international trade is conducted within the legal framework of the Foreign Trade Policy.

Frequently Asked Questions

• Is GST mandatory for an IEC? While the PAN is used as the basis for the IEC, having a GST registration is generally required for most commercial importers/exporters, though some exceptions exist for small-scale service providers.
• Can an individual apply? Yes, any individual acting as a sole proprietor can apply for an IEC using their personal PAN and address proof.
• When is an IEC not required? It is not necessary for the import/export of goods for personal use (not related to trade or manufacture) or for government departments/defense purposes.