How to Obtain an Importer Exporter Code from DGFT in India

Kaustav Chowdhury

Aug 20

4 min read

An Importer Exporter Code (IEC) is a ten-digit registration number issued by the Directorate General of Foreign Trade (DGFT) that is mandatory for conducting any import or export activity in India. Under the Foreign Trade Policy (FTP) 2023, no person shall make any import or export without holding a valid IEC, except for categories specifically exempted. The entire application process is digital, completed through the DGFT portal, and the code is typically issued within one to three business days for a one-time fee of Rs 500. The IEC carries lifetime validity, though holders must complete mandatory annual updation to keep it active.

Who Needs an IEC

An IEC is required by any individual, proprietorship, partnership firm, LLP, company, Hindu Undivided Family (HUF), trust, or society engaged in the import or export of goods. Service exporters who wish to avail benefits under the Foreign Trade Policy also require an IEC. Even casual importers or exporters must obtain an IEC before their first shipment. Banks and customs authorities require a valid IEC for processing foreign trade payments and clearing goods at ports. Businesses involved in cross-border transactions under FEMA will find the IEC to be a foundational requirement.

Exemptions from the IEC Requirement

Certain categories are exempt from the requirement to obtain an IEC under the FTP 2023:

Imports or exports for personal use that are not connected with trade, manufacture, or agriculture
Central and State Government ministries and departments importing goods for defence purposes
Notified charitable organisations importing goods for charitable purposes
Persons importing or exporting goods from or to Nepal and Myanmar through specified Indo-Myanmar border areas, subject to value limits under the FTP
Service providers who are not seeking any benefits under the Foreign Trade Policy

Documents Required for IEC Application

The following documents must be uploaded when applying for an IEC:

PAN card of the entity or individual applicant
Aadhaar card of the applicant (used for OTP-based electronic verification)
Proof of registered business address (electricity bill, rent agreement, or ownership document)
Bank account details with a cancelled cheque or bank certificate
GST registration certificate (if applicable to the entity)
Passport-size photograph of the applicant
Certificate of Incorporation or partnership deed (for companies, LLPs, and partnership firms)
Digital Signature Certificate (DSC) or Aadhaar-based e-Sign for authentication

Step-by-Step Application Process

The IEC application is filed online through Form ANF-2A on the DGFT portal. Follow these steps:

Step 1: Register on the DGFT portal at dgft.gov.in using a valid email address and mobile number.
Step 2: Log in and navigate to Services, then IEC, and select Apply for IEC to open Form ANF-2A.
Step 3: Select the applicant type (proprietor, partner, director, Karta, trustee) and fill in entity details including PAN, name, and registered address.
Step 4: Enter banker details, including the bank account number, IFSC code, and branch address.
Step 5: Upload all required documents in the prescribed format (PDF or JPEG).
Step 6: Pay the government fee of Rs 500 through the integrated payment gateway (net banking, UPI, or debit/credit card).
Step 7: Authenticate the application using Aadhaar-based OTP or DSC.
Step 8: Submit the application. The IEC is typically issued within one to three business days and can be downloaded from the DGFT portal.

Validity and Annual Updation Requirement

The IEC has lifetime validity and does not require renewal. However, since April 2021, DGFT has mandated annual updation of IEC details during the window of 1 April to 30 June of each financial year. This updation must be completed even if there are no changes to the IEC details (a "nil" update confirming no changes is sufficient). No fee is charged for updation completed within the April to June window. Failure to complete the annual updation by 30 June results in automatic deactivation of the IEC, which blocks all import and export transactions. A deactivated IEC can be reactivated by completing the updation process online through the DGFT portal. Businesses involved in repatriating dividends and profits from Indian subsidiaries should ensure their IEC remains active to avoid disruptions to trade operations.

IEC Modification and Surrender

Any change in the entity's constitution, registered address, bank details, or ownership must be updated on the DGFT portal within 30 days by filing a modified Form ANF-2A. A fee of Rs 200 is charged for modifications. If an entity wishes to permanently cease import-export activity, it may surrender its IEC by applying to the DGFT Regional Authority. Once the surrender is approved, the IEC is cancelled and cannot be reused or reissued. Indian Customs is notified electronically, preventing future use of the surrendered code. Businesses structuring their trade operations should also review guidance on technology transfer and licensing agreements under FEMA for related compliance requirements.

Key Takeaways

An IEC is mandatory for all import and export activity in India under the Foreign Trade Policy 2023, with limited exemptions for personal use, government defence imports, and charitable organisations.
The application is filed online through Form ANF-2A on the DGFT portal (dgft.gov.in) for a one-time fee of Rs 500.
Required documents include PAN, Aadhaar, address proof, bank details, and entity registration documents.
The IEC has lifetime validity but requires mandatory annual updation during the 1 April to 30 June window; non-updation results in automatic deactivation.
Modifications to IEC details must be filed within 30 days of the change, with a fee of Rs 200.
An IEC can be permanently surrendered through the DGFT Regional Authority if the entity ceases import-export activity.

Obtaining and maintaining an active IEC is a straightforward but essential step for any business engaged in international trade from India.