Benefits Of Having an Importer License

You should understand the benefits of importer license before starting an import business. It can open several new doors to international markets, better product sourcing, and bigger profit margins. However, before getting far ahead, there are more requirements you should take care of, like getting an lmpc certificate. This isn’t only government paperwork, but it’s the backbone of a legally compliant organization and builds trust with foreign suppliers and builds trust with foreign suppliers and foreign suppliers and domestic regulators. This article will help you in understanding all the aspects of an Importer licence, including who should have it, the procedure, the documentation, validity, and many more. 

What Is An Importer License?

An importer’s license is a legal authorization issued by the government that allows you to bring goods across international borders into your local market. It serves as proof that you’re following the rules for importation, including quality standards, safety regulations, and customer procedures. Without this license, customs may stop or seize your shipments, and you might face penalties or legal actions. It ensures that your import activities are legitimate and trustworthy in the eyes of regulators and business partners alike. 

Top 6 Benefits Of Having An Import LicenseTop 6 Benefits of Having an Import License

An importer’s license is more than just a legal requirement. Check the top six benefits of having an Import License:

1. Legal Authorization & Regulatory Compliance: The main benefit of having an import license is that it provides legal clearance to import goods into your country. Customs authorities will only allow to import of certain categories of products if the importer holds a valid license. This assures your business operates within the framework of trade laws and avoids fines, confiscations, or legal actions.
2. Builds Business

Holding a valid importer license instantly boosts your business’s credibility. It signals to both foreign suppliers and domestic authorities that your company is legitimate, professional, and reliable. This helps you to gain better supplier terms, credit opportunities, and long-term partnerships.

3. Faster Customs Clearance 

Licensed importers enjoy streamlined customs processes, decreased delays, and demurrage charges. Since your license is already registered with customs authorities, your shipments are less likely to be held for investigations.

4. Access to Restricted or Regulated Products

Some products, like medical equipment, food items, chemicals, arms, or telecom products, are regulated by government bodies. Without an import license, you cannot legally import these items. 

5. Opens Up Global Market

An importer license allows you to connect with international markets and modify your supply chain. This opens the world of product variety, better quality, and cost-effective sourcing options.

6. Reduces the Risk of Financial Penalties

Operating without a license can result in hefty fines, shipment seizures, or even criminal proceedings. With a valid importer license, you’re protected against non-compliance issues, avoiding unexpected legal or financial problems. 

How To Get An Importer License In India?

The procedure to get an import license differs from country to country. In India, the importer license is known as the Importer Exporter Code (IEC). Below, we have mentioned the step-by-step explanation to get an import license in India.

1. First, you have to visit the DGFT official portal
2. Then click on Apply for IEC and create an account using your business PAN and a valid email ID or Mobile Number.
3. Log in and fill out the online IEC application form (ANF-2A)
4. After this, upload the required documents (check the document list below)
5. To pay the government fee, you can pay through net banking or UPI.
6. Apply, and you will get the IEC certificate by email within 1-3 working days if all details are correct.

If you are confused, you can directly call +91 9899997002 for all the solutions related to the imported license. 

Important Documents Required For Importer License

To obtain an importer license, you need various documents, as we have mentioned below:

• IEC (Import Export Code)
• PAN Card 
• Proprietor’s/Partner’s/Director’s Identification
• Business Establishment Proof
• Address Proof
• Bank Account Details
• GST Registration 
• MSME Registration
• DGFT Digital Signature Certificate
• Commercial Invoice
• Bill of Lading/Airway Bill
• Letter of Credit 
• Insurance Certificate
• Certificate of Origin
• GATT/DGFT Declaration
• Inspection Certification
• RCMC 
• Industrial License 

Can I Apply For An Importer Licence Without GST Registration?

Yes, GST is not mandatory to apply for IEC. However, having a GST registration helps when you are dealing with high volume or B2B transactions, and can also be beneficial for claiming input tax credits. 

Why Choose ELT Corporate?

When it comes to starting or expanding your import business, ELT Corporate is your trusted partners for navigating complex procedures with ease. From applying for an importer license (IEC) to guiding you through compliance, documentation, and legal support. Here’s why importers choose ELT corporate:

• Expert Guidance 
• Quick Turnaround 
• End-to-end Support 
• Transparent Pricing
• Dedicated Assitance