Exporting for the First Time? 20 Questions Every Beginner Asks

Starting to export from India feels like being handed a rulebook written in acronyms. IEC, RCMC, AD Code, LUT, RoDTEP, eBRC, Incoterms — and every one of them sits between you and your first shipment.

The good news: the sequence is more logical than it looks, and most of it is now online. Here are the twenty questions first-time exporters ask most, answered in plain terms.

Getting Started

1. What do I actually need before I can export anything?

At minimum: a PAN, a current account with a bank that handles foreign exchange, and an IEC (Importer Exporter Code) from DGFT. Most exporters also need a GSTIN, an AD Code registered at your port, and an RCMC from the relevant Export Promotion Council if you want scheme benefits.

That's the core. Product-specific licences or certifications may sit on top depending on what you ship.

2. What is an IEC and how do I get one?

The Importer Exporter Code is a 10-digit code issued by DGFT. It is the basic licence to export from India — customs will not process a shipping bill without it.

Apply online at the DGFT portal using your PAN, bank details and a digital signature or Aadhaar e-sign. It is usually issued within a few working days and does not expire, but your IEC profile must be updated annually or it can be deactivated.

3. Do I need a company, or can I export as an individual?

You can export as a sole proprietor. You do not need a private limited company. Partnerships, LLPs and companies all work too — the structure affects your tax and liability position, not your eligibility to export.

4. What is an AD Code and why does my bank matter?

An Authorised Dealer (AD) Code is a number your bank issues, which you register at every port you ship from. Without it registered at that specific port, your shipping bill cannot be filed there.

Your bank matters because export proceeds must come through an authorised dealer bank, which also files the eBRC (electronic Bank Realisation Certificate) proving you were paid — the document most scheme claims depend on.

5. What is an RCMC and do I really need one?

A Registration-cum-Membership Certificate from your Export Promotion Council. Strictly speaking it is not required to physically export, but it is required to access most scheme benefits and council-supported trade fairs.

Which council depends on your product — Pharmexcil for pharmaceuticals, Chemexcil for chemicals and dyes, EEPC for engineering goods, APEDA for agricultural products, and so on.

Products, Codes and Rules

6. How do I find the HS code for my product?

The Harmonised System code classifies your goods internationally. It determines your duty rate, your buyer's import duty, whether you need a licence, and what scheme rates you qualify for.

Start with the DGFT or ICEGATE tariff search, narrow to the 8-digit Indian classification, and if there is genuine ambiguity, get it confirmed by a customs broker before your first shipment. A wrong HS code cascades into wrong duties, wrong scheme claims and delayed clearance.

7. Can I export anything I want?

No. Goods fall into four categories under the Foreign Trade Policy: Free (most goods), Restricted (needs authorisation), Prohibited (cannot be exported), and STE (only through State Trading Enterprises).

There is also SCOMET — dual-use items with potential military or nuclear application, which need specific authorisation. Check your product's status on the DGFT ITC-HS schedule before committing to an order.

8. Do I need special certifications for my product?

Often, yes — and usually driven by the destination, not India. Food exports may need FSSAI registration and destination-country health certificates; pharmaceuticals need CDSCO compliance and GMP standards; electronics and toys may need BIS certification or destination conformity marks.

Ask the buyer what their customs and regulators require. That list is usually longer than India's.

Documents

9. What documents does a basic export shipment need?

The usual core set:

• Commercial Invoice
• Packing List
• Shipping Bill (filed with Indian customs)
• Bill of Lading (sea) or Air Waybill (air)
• Certificate of Origin
• Insurance certificate, where you are responsible for cover

Add product-specific certificates, an inspection certificate if the buyer wants one, and any documents your letter of credit demands.

10. What is a Shipping Bill?

The declaration you file with Indian customs to get permission to export. It is filed electronically through ICEGATE, usually by your customs broker.

It matters far beyond clearance: your RoDTEP and Duty Drawback claims are made on the shipping bill itself. If the claim declaration is missed there, the benefit is generally lost for that shipment.

11. How do I get a Certificate of Origin?

Entirely online now, through the eCoO 2.0 platform at trade.gov.in. Manual certificates are no longer valid.

You choose between a non-preferential certificate (simply certifying Indian origin) and a preferential one (claiming FTA duty concessions for your buyer). Since April 2026, the invoice number on your CoO must match your shipping bill exactly.

→ Full walkthrough: How to Get a Certificate of Origin in India — Step by Step

12. What is an eBRC?

The electronic Bank Realisation Certificate — your bank's confirmation that export payment was received. It closes the loop on the transaction and is required for most scheme claims and export obligation closures. Without eBRCs, your RoDTEP and Advance Authorisation paperwork stalls.

Pricing, Payment and Risk

13. What are Incoterms and which one should I use?

Incoterms are three-letter rules defining where risk transfers from you to the buyer, who pays which costs, and who handles which paperwork.

For a first-time exporter shipping containers, FCA at a named Indian port or ICD is usually the safest choice. Avoid EXW — it technically puts Indian export clearance on your foreign buyer, which they usually cannot do, and it can jeopardise your scheme claims.

→ Full guide: How to Choose the Right Incoterm for Your Shipment

14. How do I make sure I actually get paid?

The main options, from safest to riskiest for you: advance payment, letter of credit, documents against payment, documents against acceptance, and open account.

For a first transaction with an unknown buyer, an L/C or partial advance is normal. You can also take ECGC credit insurance to cover buyer default and political risk — worth considering on any significant order.

15. Do I charge GST on exports?

Exports are zero-rated under GST. You have two routes: export under a LUT (Letter of Undertaking) without paying IGST, or pay IGST and claim a refund.

Most exporters use the LUT route because it avoids blocking working capital. The LUT is filed on the GST portal and renewed each financial year.

16. How do I price an export order?

Build up from ex-works cost, then add what your chosen Incoterm makes your responsibility: inland freight, terminal handling, customs clearance, ocean or air freight, insurance, and bank charges.

Then subtract what you'll get back — RoDTEP, Duty Drawback and any scheme benefits — because those improve your realisation and let you quote more competitively. Exporters who ignore scheme benefits when pricing routinely leave margin on the table.

Money Back: Schemes and Benefits

17. What government benefits can I claim as a small exporter?

The most accessible ones for beginners:

• RoDTEP — refunds embedded taxes, claimed on the shipping bill
• Duty Drawback — rebates customs duty on imported inputs
• Interest Equalisation Scheme — cheaper working-capital credit (verify current status)
• MAI — support for trade fair participation, via your EPC

Larger or manufacturing-focused exporters can look at Advance Authorisation and EPCG.

→ Full overview: Top 10 Government Schemes Every Indian Exporter Should Know in 2026

18. What is RoDTEP and how do I claim it?

RoDTEP refunds central, state and local taxes embedded in your product that GST doesn't cover — electricity duty, fuel levies, mandi tax and similar. You receive transferable duty credit scrips as a percentage of FOB value.

The critical part: you must declare the RoDTEP claim on the shipping bill at the time of export. Miss that tick box and the benefit is generally gone for that shipment.

→ Full guide: RoDTEP Scheme (India): Complete Guide for Exporters

Finding Buyers and Going Further

19. How do I find international buyers?

Practical starting points: your Export Promotion Council (buyer-seller meets and trade delegations), international trade fairs (often part-funded through MAI), B2B platforms, Indian embassies and trade missions abroad, and India Trade Portal data on who imports your product.

Verify buyers before shipping — company registration, trade references, and a credit check on any substantial order.

20. What are the most common first-timer mistakes?

The expensive ones, in rough order of frequency:

1. Missing the RoDTEP declaration on the shipping bill
2. Using EXW or FOB for containerised cargo, creating risk gaps and scheme complications
3. Wrong HS code, cascading into wrong duties and failed claims
4. Shipping on open account to an unverified first-time buyer
5. Not registering the AD Code at the port before the shipment arrives
6. Letting the IEC profile or RCMC lapse
7. Pricing without accounting for scheme benefits, and quoting uncompetitively as a result

Almost all of these are avoidable with a checklist and one conversation with a customs broker before your first shipment.

Your First Shipment: The Short Version

1. Get PAN → current account → IEC → GSTIN → LUT
2. Register your AD Code at the port you'll ship from
3. Get an RCMC from the relevant Export Promotion Council
4. Confirm your HS code and check the product isn't restricted
5. Agree an Incoterm and payment terms in writing with the buyer
6. Appoint a customs broker (CHA) and a freight forwarder
7. File the shipping bill — remembering the RoDTEP declaration
8. Get your Certificate of Origin on trade.gov.in
9. Ship, get paid, ensure the eBRC is generated
10. Claim your scheme benefits

This FAQ is general guidance and reflects the position as of July 2026. Procedures, scheme rates and eligibility change frequently — verify current requirements on the DGFT portal, ICEGATE or with a qualified customs broker before acting.