Import Export Code (IEC)

IMPORT EXPORT CODE (IEC)

An Importer-Exporter Code (IEC) is a significant business identification number that is mandatory for import to India or export from India. A person/entity cannot export or import without obtaining an IEC unless specifically exempted However, IEC is not necessary for services exports, except when the service provider is taking benefits under the Foreign Trade Policy.

The Need for Import Export Code

When importers have to clear their shipments from customs, the customs authorities will ask the importers for an Import Export Code.

When importers send funds overseas via banks, the bank will ask the importer for an Import Export Code.

When exporters have to send their shipments, the customs port will ask the exporter for an Import Export Code.

When exporters are paid in foreign currency and the money is transferred directly into the exporter’s bank account, the bank will ask the exporter for an Import Export Code.