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All You Need to Know about Export License in India - BizAdvisors


All You Need to Know about Export License in India

All You Need to Know about Export License in India

For import and export, items are categorized in India using the Indian Trade Clarification (ITC), which is based on the Harmonized System of Nomenclature (HSN) of coding. ITC-HS is also the basis for the eight-digit code that Indian customs uses. An Export License is necessary for the export of any items on this ITC-HS list that are categorized as “restricted products.” Except for those that are restricted or prohibited, all products are considered exportable under the Foreign Trade Policy (FTP). While restricted goods cannot be exported by businesses without an Export License, prohibited goods do not receive one. Live birds and animals, endangered plants and animals, sandalwood, sand and soil, silkworms and silk cocoons are a few examples of commodities that normally require an Export License. In this article, we will get to learn about the Export License in India.

The rules and regulations about export policies are provided in Schedule II of the ITC-HS code. The 97 chapters of the ITC-HS code’s Export Policy Schedule II contain comprehensive instructions for exporting a variety of items. The regulatory organization that makes changes to these rules is the Directorate General of Foreign Trade (DGFT). These chapters list the products’ respective Export Policy classifications. For instance, “Silk” is found in ITC-HS chapter 50 under Schedule II of the Export Policy. It contains products that fulfill the bill, such as pure silkworm races, silkworm seeds, and silkworm cocoons. The export of silk from India is therefore only allowed with an Export License as a result of the “limited” export policy for silk.

What is Export License in India?

A ten-digit unique code called IEC registration also referred to as Export License India, is given to the exporter of eligible goods. The associated maritime industry’s top regulator, DFGT; has the sole authority to give such registration in exchange for a regulated application and set fees.

Advantages of Export License in India

The following are the advantages of an Export License in India:-

  • Ensure market growth: Businesses can access the international market thanks to IEC registration, which leads to higher profitability.
  • Make sure that government programs and perks are accessible: Companies with an IEC registration are more able to participate in government-based growth-oriented programs. Through the empowering of small exporters, a non-profit organization like the Export Promotion Council plays a key role in increasing the country’s exports.
  • Simple to Process and Permanent Validity: In contrast to other registration, the import-export code has lifetime validity, thus it is not necessary to renew it regularly.

Essential Documentation concerning the Export License in India

The following mentioned are the significant documents to acquire Export License in India:-

  • (ANF-1 Profile of Exporter and Importer)
  • The Export License Application Form for Restricted Items (ANF-2N Form)
  • A copy of the foreign buyer’s purchase order, import order, or a contract between the two
  • Evidence that the application cost was paid online
  • Copy of Identity Document
  • PAN Card
  • Proof of Address
  • Canceled Check or Bank Certificate
  • In the event of a rental property, a NOC


Below mentioned is a step-by-step process for attaining Export License in India:-

  • The export cell processes the mail, which contains the application and any accompanying papers.
  • The application is pre-screened, and if all is well, it is then forwarded to the relevant ministry or department within three working days.
  • A deficiency letter is sent to the exporter within three working days if there is any abnormality found in the application.
  • After receiving the deficiency notification, the application exporter has three days to react and submit the required data/documents.
  • On the other hand, if the application is referred to the ministry or department, the concerned officials must give their NOC, comments, or opinions on the application as soon as possible and within 30 days of receiving it from the DGFT.
  • All such applications awaiting approval are brought to the EXIM facilitation committee (EFC), which meets once a month, once the DGFT receives the response from the relevant ministry or department.
  • The export cell at the DGFT headquarters draughts a permission letter and sends it to the exporter after receiving approval from the EFC. A second copy is given to the RA for the DGFT’s jurisdiction, giving them instructions on how to grant the Export License.
  • After receiving authorization, the exporter must go to the RA with a copy of the permission letter, the application, and any supporting paperwork.
  • Within three working days, the RA is required to provide the exporter with an Export License. Thus, the full process should ideally be finished in 30 to 45 days.

Additional Information in the context of Export License in India

While processing the application and before making their MOC, comment, or recommendation, the administrative ministries and departments may request specific documentation. Depending on the item, different documentation is required to be supplied with the application.

The Export License, also known as a license, certificate, or authorization, is typically effective for the time frame specified by the RA. Additional terms and conditions about the license could include those governing the quantity and description of the goods, value addition, the minimum export/import price, and the export obligation. Therefore, the export will be carried out in compliance with any applicable DGFT public notice or the terms of the Export License issued against it.

Situations in which IEC registration or an Export License in India is not required

GST-registered traders are exempt from obtaining IEC registration, according to a new GOI statement. In this situation, the trader’s PAN will take the place of the IEC registration.

Additionally, IEC registration is no longer required for export and import operations that are not for profit. This requirement also applies to shipping transactions carried out by GOI and Notified Charitable institutions.


An essential regulatory requirement for carrying out import-export operations in India is IEC registration, also referred to as an Export License in India. The DGFT[1] approves it in exchange for the aforementioned paperwork and a correctly filled-out electronic form. Seek professional advice for Export License in India. You can also reach Bizadvisors.io for more information.

Read our article:Benefits of of Obtaining IEC Registration in India

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