Ideas To Start Import-Export Business In India

 A great way to build brand recognition is by expanding your business into the international market.

This will not only help you scale your business, but it will also help you boost your business and generate high revenue.

When it comes to exporting, businesses in India have several benefits as they have access to the means to maximize profits and minimize production costs.

 For various reasons, India is a great place to start an import-export business.

The key factor for why India is a great place to start an Import-Export Business is that many small to medium-size businesses in India have access to inexpensive labor and several kinds of raw materials.

Moreover, India is no doubt a goldmine for businesses that want to start an import-export business as it has a wide range of natural resources, which makes it more suitable for an import-export business as it makes it easier to source raw material for production.

Some of the top products for import-export business are :

JEWELRY

Jewelry is one of the most popular products in India and since there is a wide range of minerals and gemstones that are found in India such as copper, gold, silver, garnet, etc that are used in the production of these ornaments and jewels.

Indian land is rich in coal which makes it one of the largest producers of diamonds. Even though these gemstones are not rare, they still come with a hefty price tag.

China, the United States, Japan, and Europe are some of the countries India exports jewelry to. According to research, around 25% of India’s jewelry and ornaments were exported to the United States in the year 2020.

MINERAL FUELS

India has a wide range of several kinds of mineral fuels including some of the valuable fossil fuels that are in high demand in the global market.

The two of the most valuable natural resources of India are natural gas and crude oil.

 Extracting oil is an expensive business to get started with, but it is a very lucrative field if you have all the resources to start investing.

There are tons of export possibilities in this field in India as Indian land contains various other mineral fuels such as coal, limestone, mica, manganese ore, iron ore, etc.

These minerals fuels are in high demand and are being used all over the globe for various purposes.

ELECTRONICS

In the past few decades, the use of electronic devices has gained popularity around the globe, including in India. India alone imports electronics worth billions of dollars each and every year.

And most of these products are imported straight from China as China is one of the largest producers and exporters of electronic products.

It’s not that India does not manufacture electronic devices of its own, it does manufacture and export some of its own electronic devices, but before they could match the amount of the electronic devices they import, they have a long way to go.

HEAVY MACHINERY

Another major currency import in India is heavy machinery. We require heavy machinery for industrialization and for construction purposes.

Without these large tools, industrialization and the construction of big-scale buildings and infrastructure would not be possible.

At present, Japan and China are the countries from where the majority of heavy machinery is being imported.

The estimated worth of this industry is somewhat around 20 billion dollars.

CLOTHING

From yarn, fiber, apparel to fabric, India has strength across the entire value chain and has competitive manufacturing costs.

The reason being, India has one of the largest apparel & textiles industries all over the globe.  Moreover, cotton, which is an essential raw material for a lot of cloth manufacturing, is one of India’s cash crops.

A total of 12% of the country’s export revenue comes from this Industry. Since people are spending more time at home rather than out in public or at work, the international demand for clothing has started to evolve.

As people are forced to work from home and many of the companies shifting and encouraging the activity of work from home, the demand for clothing such as pajamas, athletic wear, loungewear has increased as people working from home want to be comfortable while carrying out their offices’ duties.

Basic Requirements To Start Import-Export Business In India

PAN CARD

To start a new import-export business, you need to provide a certain set of documents including your PAN CARD to complete legal formalities related to your import-export business.

 In order to register your import-export business, you and your partners must provide a valid & authentic identity and address proof.

For every registered business entity, it is necessary to apply for a PAN CARD with the income tax department.

BUSINESS BANK ACCOUNT

The bank account used by the business entities to transact that off with the customers, vendors, manufacturers, and customers is called a current account.

Without having a current account business dealing would not be possible.

Hence, having a current account is a must in the business industry.

Documents needed to open a current account can vary depending on the type of business entity.

IEC

The IEC ( Import Export Code), is a 10 digit unique registration code issued by the DGFT (Directorate General of Foreign Trade ), under the Ministry of Commerce and Industries.

 For anyone looking to start an import-export business is required to have an IEC Code.

RCMC

Once you have an Import Export Code (IEC), you need to obtain RCMC which can be acquired from the Export Promotion Council. Our country India has plenty of export promotion councils that work and help you promote the export of different services and products.

To avail benefits under the Indian Foreign Trade Policy, it is mandatory to register under the RCMC.

These councils provide assistance and access to events that help you enhance & promote your import-export business. It takes around a week to get the registration done and it is valid all over India.

COMPANY REGISTRATION CERTIFICATE

Before you start your import-export business, you need to determine the form of the business entity you want your company to be.

After that, you need to choose a name for your business entity and get it registered accordingly. You can form a Partnership firm, a Sole Proprietorship firm, A Private Limited Company, an LLP, or A Public Limited Company.

CONCLUSION

If you are someone new in the industry of import and export and need guidance or assistance regarding import-export business, you can connect with us at  info@eximtradedata.com as we provide digitally analyzed marketing researched import-export data that help you understand the current trend and flow of the market. We provide in-depth authentic import-export data that help you enhance, attract and target potential markets for your services and products.