DGFT Import Export Code (IEC) for Foreign Manufacturers Entering the Indian Market: Complete Guide

Every shipment that crosses into India has to clear customs against a 10-digit number issued by the Directorate General of Foreign Trade (DGFT): the Import Export Code, or IEC. Without a valid IEC quoted on the Bill of Entry, customs will not release the consignment, banks will not process the trade remittance, and the shipment sits at the port accumulating demurrage charges. For a foreign manufacturer, the IEC itself is usually held by the Indian importing entity — but understanding exactly how the IEC system works, who in the transaction chain is responsible for it, and how it interacts with your broader India compliance obligations (BIS, WPC, BEE, EPR) is essential to avoid shipment delays. This guide walks through the DGFT/IEC framework specifically from the perspective of a foreign manufacturer planning or scaling exports into India. 1. What Is an IEC and Why Does It Matter to a Foreign Manufacturer? The Import Export Code (IEC) is a 10-digit identification number issued by the DGFT, under the Ministry of Commerce and Industry, to any individual or entity engaging in import or export of goods or services involving India. It is mandated under the Foreign Trade (Development and Regulation) Act, 1992, and is required on every shipping bill, bill of entry, and most foreign trade banking transaction connected to Indian customs. The IEC itself must be held by an entity registered in India — typically your Indian importer, distributor, subsidiary, or liaison/branch office. A foreign manufacturer based outside India does not hold the IEC directly unless it operates a registered Indian entity (branch office, liaison office, wholly owned subsidiary) that imports on its own behalf. This makes the IEC a foundational piece of your India market entry structure, not a standalone formality: every other certification — BIS, WPC ETA, BEE, EPR — is filed and tracked against the IEC-bearing entity’s import records, so getting this layer right shapes how cleanly the rest of your compliance stack functions. 2. Who Needs an IEC in a Foreign Manufacturer’s Supply Chain? Indian importer/distributor: If you sell through an independent Indian importer or distributor, that entity holds the IEC and is the importer of record for customs purposes. Your Indian subsidiary or branch office: If you’ve established a wholly owned subsidiary, joint venture, or registered branch/liaison office in India, that entity applies for and holds its own IEC to import directly. Your Authorised Indian Representative (AIR), where applicable: For BIS FMCS-regulated products, your AIR manages BIS-side compliance, but the IEC and customs clearance role is typically separate — handled by whichever Indian entity is the actual importer of record. Contract manufacturers or licensees in India: If your products are assembled, blended, or packaged locally under license, the licensee holding import rights to components or raw materials needs its own IEC. A common structuring question foreign manufacturers face is whether to rely on an existing Indian distributor’s IEC or establish their own importing entity. Each path has different implications for control, customs valuation, and how cleanly your other certifications (BIS, EPR, WPC) map to a single accountable entity — this is worth resolving early, before your first shipment, rather than after a customs hold. 3. The IEC Registration Process Step What Happens Entity setup The Indian entity (subsidiary, branch office, or appointed importer) must have valid PAN, GST registration, and a bank account in India Online application Application filed on the DGFT portal (dgft.gov.in) using Form ANF-2A, with firm details, address, PAN, bank details, and nature of business Document upload Supporting documents uploaded in prescribed digital format, including proof of business registration and bank certificate/cancelled cheque Fee payment A flat government fee is paid online via the portal Processing DGFT processes and typically issues the IEC certificate within a few working days of a complete, error-free application Certificate download The IEC certificate, containing the registered entity’s name, address, and 10-digit code, is downloaded from the IEC Profile Management section AD Code registration The IEC holder registers their bank’s Authorised Dealer (AD) Code at each customs port where shipments will be cleared ICEGATE registration The IEC holder separately registers on ICEGATE (Indian Customs EDI Gateway) to enable electronic filing of bills of entry and shipping bills The IEC has lifetime validity once issued and does not need to be renewed in the traditional sense — but it must be reconfirmed through an annual update on the DGFT portal between April and June each year, or the IEC is automatically deactivated, which halts customs clearance until it is reactivated. 4. Documents Required for IEC Application 5. How the IEC Fits Into Your Broader India Compliance Stack A foreign manufacturer’s first instinct is often to treat the IEC as a simple administrative box to tick — but its placement in the compliance chain has real consequences: 6. Risks of Getting the IEC Structure Wrong 7. PCN India Global: IEC & Import Compliance Structuring for Foreign Manufacturers PCN India Global helps foreign manufacturers design and manage the India-side import structure that underpins reliable market access — not just the IEC application itself, but how it connects to your BIS, WPC, BEE, and EPR obligations. As your compliance partner, we: Need Expert Assistance? Contact PCN India Global A foreign manufacturer’s India market entry is only as strong as its weakest compliance link — and the IEC sits at the foundation of that chain. Getting the structure right from day one prevents the kind of customs holds, certification mismatches, and renewal gaps that cost real money and market momentum. PCN India Global provides complete end-to-end support across every layer of India market entry compliance. We specialise in: 📞 Phone: 08010905029 | ✉ Email: bdm@pcnindiaglobal.com | 🌐 pcnindiaglobal.com Your first compliance consultation is free. Reach out today. Frequently Asked Questions Q1: Can a foreign manufacturer hold an IEC directly, without a registered Indian entity? No. The IEC must be issued to an entity registered in India with a valid Indian PAN, GST registration, and bank account. A foreign manufacturer without an Indian subsidiary,

EPR Registration for Used Oil in India: Compliance Guide for Foreign Manufacturers & Base Oil Importers

India consumes over 3 million metric tonnes of lubricating and base oil every year, and a significant share of that volume — along with the base oil itself — is supplied by foreign manufacturers and importers. Since April 2024, every entity that produces or imports base oil and lubricating oil into India has a binding legal obligation under the Hazardous and Other Wastes (Management and Transboundary Movement) Rules, as amended in 2023: Extended Producer Responsibility (EPR) for used oil. If your company manufactures base oil overseas and exports it into India, or imports used oil as a recycling input, this obligation applies to you directly — not just to your Indian distributor. Missing this registration, or failing to meet annual EPR targets, can result in your products being flagged for non-compliance at the point of customs clearance and exposes your business to penalties under the Environment (Protection) Act, 1986. This guide explains exactly what EPR for used oil means, who it applies to, how the CPCB registration and target system works, and how foreign manufacturers can stay compliant without disrupting their India supply chain. 1. What Is EPR for Used Oil? Extended Producer Responsibility (EPR) for used oil was introduced through the Hazardous and Other Wastes (Management and Transboundary Movement) Second Amendment Rules, 2023, which added Chapter VII specifically covering used oil. The rules came into force on April 1, 2024, and are administered by the Central Pollution Control Board (CPCB) through a dedicated online portal. Under this framework, every producer of base oil or lubricating oil — and every importer of used oil — is assigned an annual EPR target. This target represents the volume of used oil that must be collected and sent for environmentally sound recycling, in proportion to the volume of fresh oil the producer or importer sold or imported into the Indian market that year. Producers do not need to physically collect and recycle the oil themselves. Instead, the rules establish a certificate-based trading mechanism: producers buy EPR certificates from CPCB-registered recyclers, who have demonstrably collected and recycled the equivalent volume of used oil. This is the same certificate-trading model CPCB uses for plastic, e-waste, battery, and tyre EPR — but used oil has its own dedicated portal, its own registration category, and its own compliance calendar. Key principle: If your company sells base oil or lubricants into the Indian market — whether you manufacture in India, export finished oil into India, or supply bulk base oil to Indian blenders — you are a “Producer” under these rules and carry EPR liability, regardless of where your factory is located. 2. Who Needs to Register? The Used Oil EPR Rules define four categories of registered entities, and a foreign manufacturer’s obligation typically falls into one or both of the first two: Producers of Base Oil or Lubricating Oil: Any entity that manufactures base oil or finished lubricating oil and places it on the Indian market, whether manufactured domestically or imported in bulk and sold under the producer’s brand. Importers of Used Oil: Entities that import used oil into India as a feedstock for re-refining or recycling operations. Collection Agents: Entities engaged in collecting used oil from generators (workshops, industrial users, fleet operators) for delivery to recyclers. Recyclers: CPCB-authorised facilities that process used oil and issue EPR certificates to producers and importers who purchase them to meet their targets. For a foreign manufacturer exporting base oil, finished lubricants, or industrial oils into India, registration as a “Producer” is mandatory before the product can be legally sold in the Indian market. This applies whether you sell directly to Indian industrial buyers, supply through a distributor, or have your oil blended and packaged locally under your brand name. Indian importers and distributors who simply resell a foreign manufacturer’s oil under that manufacturer’s own brand are not automatically the “Producer” for EPR purposes — the obligation generally sits with the brand owner. This makes it essential for foreign oil manufacturers to register directly or appoint a registered Indian entity to manage the obligation on their behalf, rather than assuming the Indian buyer has already taken care of it. 3. The CPCB Registration Process Step What Happens Portal sign-up Create an account on the CPCB Used Oil EPR Portal (eprusedoil.cpcb.gov.in) as a Producer or Importer of Used Oil Entity details Submit company registration documents, GST, PAN/TAN of the Indian entity or authorised representative, and product category details Volume declaration Declare the volume of base oil/lubricating oil sold or imported into India in the relevant financial year Target allocation CPCB allocates an annual EPR recycling target based on declared volumes and category-wise norms Certificate procurement Producer purchases EPR certificates from CPCB-registered recyclers via the portal’s trading mechanism to meet the allocated target Quarterly/annual returns File periodic returns declaring procurement data, sales data, and EPR certificates acquired against the target Compliance verification CPCB reviews submitted returns and certificate purchases against the producer’s target for the financial year Producers are required to begin filing annual returns starting from the FY 2024-25 cycle, and the portal mandates registration before the relevant sales or import volumes can be legally placed in the market for a compliant entity. 4. Documents Required for EPR Used Oil Registration 5. EPR Targets and the Certificate Trading Mechanism Once registered, a producer’s annual EPR target is calculated as a percentage of the previous year’s declared sales or import volume of base oil/lubricating oil. The producer must then acquire EPR certificates equal to or exceeding that target from CPCB-registered recyclers through the portal’s adjustment and trading mechanism. A few mechanics are important for foreign manufacturers to understand: This certificate-based system means a foreign manufacturer does not need to set up physical collection infrastructure in India — but does need accurate volume reporting and timely certificate procurement, both of which require ongoing portal management rather than a one-time filing. 6. Risks of Non-Compliance 7. PCN India Global: EPR Used Oil Compliance for Foreign Manufacturers PCN India Global helps foreign manufacturers and importers