Exporting from India: IEC, Shipping Bills, and Export Incentives Explained

Exporting goods from India involves a defined regulatory and documentation flow, most of which is now handled digitally through the ICEGATE portal and DGFT systems.

Importer-Exporter Code (IEC). A mandatory 10-digit code issued by the DGFT that any business must hold before it can legally export or import goods and services from India.

Shipping Bill. The primary export document filed electronically with customs, declaring the goods, value, and destination, and required before goods can be cleared for loading onto a vessel or aircraft.

Export finance. Exporters commonly use pre-shipment finance (like packing credit) to fund production before shipment, and post-shipment finance to bridge the gap between shipping goods and receiving payment.

Export incentive schemes. Programmes such as RoDTEP (Remission of Duties and Taxes on Exported Products) and duty drawback aim to refund embedded taxes and duties on inputs used in exported goods, improving the price competitiveness of Indian exports. ECGC cover is also commonly used to insure against buyer or country payment risk.