Company Registration for Import-Export Business in India
If you're setting up a business to import or export goods, company registration is only the first step. You also need an Importer Exporter Code (IEC) from the DGFT — without it, customs will not clear your shipments — and, in most cases, GST registration. A Private Limited Company or an LLP both work as your legal structure; the IEC and GST steps are what make an import-export business different from a standard company registration.
Which structure fits an import-export business
Your import-export business needs a registered legal entity before it can apply for an IEC, so choosing the right structure comes first. For most trading businesses, a Private Limited Company or an LLP both work well — the right choice depends on where you plan to take the business.
Private Limited Company
If raising outside funding or scaling beyond a small trading operation is on your roadmap, a Private Limited Company is the better fit. It offers limited liability, a clean cap table for investors, and is the structure most banks and overseas partners are familiar with when you open a current account or apply for trade finance.
LLP
If you're two or more partners running a lighter-compliance trading business and don't plan to raise institutional funding, an LLP keeps ongoing compliance simpler while still giving you limited liability protection. Many import-export trading partnerships choose this route for exactly that reason.
Shunya's CA team walks you through Private Limited vs LLP for your specific import-export setup before you register.
Talk to a CA →The IEC — the one code you cannot import or export without
The Importer Exporter Code (IEC) is a 10-digit code issued by the DGFT (Directorate General of Foreign Trade). It is mandatory for any business that wants to import into or export from India — without it, customs will not clear your shipments, no matter how your company is structured or how small your first shipment is.
Cost and timeline
An IEC costs ₹500 to apply for on the DGFT portal and is typically issued within 1 to 3 working days once your application and documents are in order.
Lifetime validity, but you must confirm it every year (1 April – 30 June)
An IEC has lifetime validity once issued — it does not need to be renewed. But every IEC holder must confirm or update their profile on the DGFT portal annually, between 1 April and 30 June. Skip this window and the IEC is automatically deactivated. A deactivated IEC blocks both customs clearance and bank remittances until you reactivate it. Reactivation is free if you're simply confirming with no changes, or ₹200 if you're also modifying details on your profile.
GST for an import-export business
Standard GST registration thresholds apply to most import-export businesses: ₹40 lakh in annual turnover for goods, ₹20 lakh for services, and ₹10 lakh in special category states. If you cross these thresholds, or choose to register voluntarily, you'll need to register for GST alongside your IEC.
One point worth knowing as an exporter: exports are generally treated as zero-rated under GST when you file a Letter of Undertaking (LUT), meaning you don't have to charge GST on export invoices. The refund and LUT filing mechanics are worth a separate conversation with your CA once you're closer to shipping.
Two more registrations come up once you start actually clearing shipments: an AD (Authorised Dealer) Code registered with your bank, and ICEGATE registration for electronic customs filing. Exactly what you need depends on your shipment type, so treat these as a pointer to bring up with your CA rather than something to sort out at incorporation.
How Shunya prices company registration for import-export businesses
Shunya's flat professional fee for company registration is ₹1,999, whether you're setting up a Private Limited Company or an LLP. IEC and GST registration are separate from company incorporation and are priced at actual government cost where applicable — Shunya's CA team confirms exactly what you'll pay for each before you commit.
Get your import-export business registered and trade-ready
Company registration, IEC guidance, and GST — start with Shunya's ₹1,999 flat professional fee for incorporation.
Get Started →Do I need an IEC to start an import-export business?
Yes. An Importer Exporter Code (IEC) is mandatory for any business that wants to import into or export from India. It is a 10-digit code issued by the DGFT (Directorate General of Foreign Trade), and without it customs will not clear your shipments, regardless of your company's size or structure.
How much does an IEC cost and how long does it take?
An IEC costs ₹500 to apply for on the DGFT portal and is typically issued within 1 to 3 working days.
Does my IEC expire?
An IEC has lifetime validity, but every holder must confirm or update their profile on the DGFT portal annually between 1 April and 30 June. If you miss this window, the IEC is automatically deactivated, which blocks customs clearance and bank remittances until you reactivate it. Reactivation is free if you're only confirming with no changes, or ₹200 if you're also modifying details.
What structure is best for an import-export company?
Both work well. A Private Limited Company is the better fit if you plan to raise outside funding or scale significantly, while an LLP suits a lighter-compliance trading partnership. Either way, you'll still need an IEC and, in most cases, GST registration once your company is incorporated.
Does Shunya help with IEC registration too?
Yes. Alongside company registration, Shunya's CA team can guide you through your IEC application on the DGFT portal and your GST registration, so your business is fully ready to import or export.
This article is for general information only. For your specific situation, consult a practicing CA.