Importer Exporter Code Registration in Chennai - Documents, Fees, and Renewal

Chennai Port is the second largest container port in India, which makes it a prime location for starting an import export business. The first step of an international trade business is obtaining an Import-Export code.

Running an import-export business without an IEC code is illegal and you will face a lot of hurdles while clearing your goods from the ports and also, while making transactions in foreign currency.

To get the Import Export Code in Chennai, apply to the Directorate General of Foreign Trade with the necessary documentation. Following the application, the DGFT will issue the entity's IE Code within 15-20 business days.

Thus, once issued, the IE Code Registration is valid forever and does not require renewal or filing like GST. Therefore, most businesses importing or exporting goods and services from India must get an IE code. Most importers and merchants can only import goods with an IEC code, and exporters are not eligible for the DGFT Department's export scheme, among other benefits. Importers' IE codes are required by banks when transferring or receiving money abroad, and they must be quoted while clearing customs and sending goods.

In this article, you will learn everything about IEC code registration , documents required and the entire process of obtaining an IEC code in Chennai.

While an IEC code allows you to operate import-export business in Chennai, It comes with some additional benefits. Let’s take a look at how obtaining an IEC code will help your import export business :

Legalize Overseas Trade

The IEC code facilitates your overseas trade and legalizes your import and export business. It makes your trade across borders easy and legal.

Global Business Expansion

• Import-export code allows your product to reach the global market, which results in huge business expansion.
• Obtaining an IEC Code Opens your door to the online international marketplace like Alibaba and Amazon.

Import/Export Subsidies

• An exporter can claim a refund on taxes imposed while exporting goods
• If you promise to import goods within a specific time, The government even waives some import duties as well.

Easy Registration Process

• You can get an import/export code registered by providing some basic documents like a PAN card, Address proof, Bank details, etc.
• There is no need to fulfill any compliances like annual filings or return fillings. It is a hassle-free process.
• The entire registration process is online. There is no need to go anywhere to obtain an IEC.

Facilitates Electronic Fund Transfers (EFTs)

EFT is a new service offered to exporters that allows them to pay the license fee online via the internet rather than visiting a bank to make the payment.

However, it is generally recommended that any person or business that engages in the export or import of goods must obtain an ICE license. Thus, IEC registration is useful in a variety of situations. These are:

• When an importer has to clear his shipments from the customs, then an Import Export code is required by the customs authorities.
• The IEC code is required by the banks when the money is sent abroad through banks by the importer.
• The Import Export license is required by the customs port when the shipment has to be sent by the exporter.
• The IEC code is required by the banks when the money is received in foreign currency directly into the exporter’s bank account.

To summarize, the Import and Export Code (IEC) is critical for organizations involved in international trade. This will provide you access to global marketplaces and facilitate cross-border transactions. Registering with the IEC allows businesses to simply manage customs procedures, expand their reach, and capitalize on global opportunities. This period is critical for encouraging growth, ensuring compliance, and laying a solid basis in the dynamic world of international trade.