First, you need to choose your product which you can sell in India easily. Licence formalities for import business depends on the product which you want to import from any country. For example: if you want to import food items then you need a valid food licence which is issued by Food Safety and Standards Authority of India(FSSAI).
There are some government formalities for import business that you need to fulfill:
- First, you need to register your business such as firm, proprietorship, company etc.
- Importer Exporter Code is mandatory for both import and export business, if you want to import/export goods or products with your own name.
In India, before starting import/ export business with your own name, you must require an Importer exporter Code (IEC). It is a 10 digit code which is issued by Directorate General of Foreign Trade. You can apply online for IEC number at dgft.gov.in. You need following documents for IEC number:
- PAN card copy.
- Birth certificate copy.
- Bank certificate regarding IEC number.
- DD in favour of zonal Directorate General of Foreign Trade.
Licences and government formality depend on type of goods or products.
Find overseas supplier:
Finding supplier is a major task. You can search for overseas suppliers for your products at online market place like Alibaba (www.alibaba.com), made-in-china (www.made-in-china.com) , by agents like hindchina(www.hindchina.com) , from trade fair held in India, embassies, or through your website (if you have).
Always ask for sample of your product if you are dealing first time with any supplier. Supplier sends you sample of product, you can convince seller for sample at very cheap cost. A single bad shipment can ruin your business.
Choose right modes of transport:
Choose right modes of transportation for your goods or products. If your product is valuable and less in size, for example- less than 1 cubic metre then you can choose air mode of transport. Air modes of transport is much costly than sea modes, 90% of international trade uses sea modes of transport.
We help you to choose right mode of transport from your source (foreign country) to your destination.
Choose right modes of payments transaction:
For payments transaction, always use secure and safe modes of payments. Letter of credit is safe and secure mode of payments. In this, both buyer and seller banks are involved in payments transaction. For international trade, it is a more secure method of payments where both buyer and seller do not know each other.
Custom clearance:
You need a custom house agent (CHA) for your import clearance when your goods or product reached at port. In India, Custom House Agent is mandatory for every import which file documents for clearance on behalf of you. In India, CHA must be required for custom work.
We provide you expert Custom house agent for your import clearance. CHA must involve in both import/ export custom clearance. We manage services like payments transaction, find a suitable overseas source, custom clearance, transport services from your source (Foreign country) to destination(your country). For our service, you can visit our website: www.hindchina.com.
You require registering for VAT/Sales Tax registered before start selling in India.
Portlogy can help you in all the above procedures. Our services include: finding overseas buyers, finding an overseas supplier, freight management, transportation, custom clearance. We provide free consultancy to start import and export business.