The overall size of the Indian Export Industry(merchandise and services) was estimated to be $54.06 Billion for September 2021 according to the Ministry of Commerce and Industry. Exports are up 21.44% from last year. The jubilation that this news might beget is dampened by the import numbers having risen by 85% YOY and the trade deficit swelling to $22.59 Billion against $2.96 Billion from the same period last year. The excessive import of Gold is responsible for the ballooning of the trade deficit for September when 91 tonnes of Gold($5.1 Billion worth) was imported as compared to 12 tonnes($601 Million worth) a year ago.
With the RoDTEP guidelines and rates
released, the government must enact better initiatives to promote export. Besides, with a resurgence in global trade levels and the shipping container crisis finally easing up, this could be the right time for you to establish your Exim unit in India. Read on to find out the government’s import-export procedure.
Establish a business organisation in India. You can choose from a Sole Proprietorship/Hindu Undivided Family/Partnership Firm and complete the necessary GST formalities.
All business entities in India need to obtain a PAN number from the Income Tax Department to start operations.
Open a current account in any one of the Private or Public banks in India.
IEC Code stands for Import Export Code
, which is a ten-digit unique code granted by the DGFT. After GST was enacted, the PAN Number is the same as the IEC Code
. Nevertheless, a separate online form has to be filled to obtain the IEC Code. Read this Blog from cybex.in to get your IEC Code today.
- Apply for Registration cum Membership Certificate (RCMC)
There are about 14 Export Promotion Councils in India. These councils help Indian exporters gain access to international markets through various benefits and initiatives. Before a trader can start their import-export enterprise, they have to obtain the RCMC from one of the EPCs to be eligible for benefits and special initiatives.
Important Points of Consideration
A trader can choose any product or a bundle of products as they wish except items prohibited/restricted by the government of India.
Market selection must be done by a trader keeping in mind the business/political/socio-economic conditions of the foreign country where they wish to trade. They must also scrutinize the product opportunities and price comparisons.
Exim traders must participate in trade fairs, exhibitions, B2B conferences etc. to find a market for their products. Overseas commerce chambers can be of help too.
The price must be set keeping in mind the export competitiveness and all added costs like insurance, shipping, handling etc.
The Export Credit Guarantee Corporation of India is a government-run export credit insurance provider. The organisation also offers guarantees to banks and financial institutions to allow traders to work efficiently.
Cybex.in has mined tonnes of import-export data
that will help your firm reach your trade goals. Reach us at [email protected]
or call (+911204517800) or WhatsApp (+9971093718).