You need an Import Export Code (IEC) from the Directorate General of Foreign Trade (DGFT) before you export or import goods, unless you are exempt. The code is the same as your PAN, the government fee is ₹500, and it must be confirmed online every year between April and June or it is deactivated.
Who needs an IEC
- Exporters and importers of goods. No goods can be exported or imported without an IEC unless the person is specifically exempt.
- E-commerce exporters. A seller who exports through e-commerce as the exporter on record needs both an IEC and a GSTIN.
- Service exporters, only for benefits. If you export services such as software or consultancy, you need an IEC only to claim benefits under the Foreign Trade Policy.
An IEC is not needed for imports or exports for personal use that are not connected with trade, manufacture or agriculture, or by Central and State government departments.
How to apply
- Apply online on the DGFT portal in form ANF-2A.
- Keep proof of address ready, with a cancelled cheque or a certificate from your bank.
- Pay the government fee of ₹500. The IEC is issued against your PAN, and only one IEC is issued per PAN.
The yearly update
Every IEC holder must update or confirm the IEC details online between April and June each year, even if nothing has changed. There is no fee for the yearly update. An IEC that is not updated is deactivated, and it is reactivated once the update is done.
Separately, a change in the constitution of the business, its address or its bank details must be updated within 30 days of the change.
What to do now
- Set a reminder for the first week of April every year.
- Log in to the DGFT portal and check the address, bank and contact details on your IEC.
- Confirm or update the details and keep the confirmation for your records.
Common questions
Is the IEC number different from my PAN?
No. The IEC is the same as the PAN of the business.
My IEC was deactivated because I missed the yearly update. What now?
Complete the update on the DGFT portal. A deactivated IEC is reactivated after a successful update.
Do I need an IEC to export software or consulting services?
Only if you want to claim benefits under the Foreign Trade Policy. Otherwise an IEC is generally not needed for services.
Is there a fee for the yearly update?
No. The ₹500 fee applies when you first apply. The yearly update has no fee.
We handle new IECs and yearly updates: see Import Export Code (IEC). Exporting without paying IGST is done under a letter of undertaking (LUT), filed for each financial year.
Sources: Foreign Trade Policy 2023, paragraphs 2.05 and 9.13; Handbook of Procedures 2023, paragraphs 2.07, 2.08 and 2.14; DGFT Appendix 2K.