Asia
Trade terms in India: what works and what catches people out
No import or export into India without an Importer-Exporter Code (IEC), which is tied to an Indian PAN — a hurdle for a foreign seller trying to quote DDP. Insurance for the inland leg must be local.
Record last reviewed · Check a route to India →
DDP when importing into India Practically hard Needs review
Can a foreign seller clear the goods and pay import taxes in this country?
Practically hard. Indian trade policy says no goods may be imported or exported without an IEC unless exempted, and the IEC is the same number as the entity's Indian PAN. A foreign seller with no Indian entity therefore normally cannot be the importer; DDP usually needs a local importer-of-record arrangement.
Sources: Directorate General of Foreign Trade, Government of India · last checked
CIF when importing into India Usable with conditions Needs review
Can the seller buy the cargo insurance abroad for goods going into this country?
ICC's January 2025 barrier list reports that cover bought abroad is accepted for CIF/CIP only up to the point of entry; insurance for the onward leg inside the country has to be placed locally.
Sources: International Chamber of Commerce (ICC) · last checked
CIP when importing into India Usable with conditions Needs review
Can the seller buy the cargo insurance abroad for goods going into this country?
ICC's January 2025 barrier list reports that cover bought abroad is accepted for CIF/CIP only up to the point of entry; insurance for the onward leg inside the country has to be placed locally.
Sources: International Chamber of Commerce (ICC) · last checked
EXW when exporting from India Unverified Unverified
Can a foreign buyer handle export clearance out of this country?
No EXW barrier is listed for India in ICC's January 2025 barrier tables. We have not yet checked national sources, so treat this as unverified.
Sources: International Chamber of Commerce (ICC) · last checked
FCA when exporting from India Unverified Unverified
Are there export-filing traps when the buyer arranges carriage from this country?
No FCA barrier is listed for India in ICC's January 2025 barrier tables. We have not yet checked national sources, so treat this as unverified.
Sources: International Chamber of Commerce (ICC) · last checked
FOB when exporting from India Unverified Unverified
Are there local quirks with FOB when shipping from this country?
No FOB barrier is listed for India in ICC's January 2025 barrier tables. We have not yet checked national sources, so treat this as unverified.
Sources: International Chamber of Commerce (ICC) · last checked
Key facts
- Importer of record ✓ Verified
An IEC is mandatory for any import or export of goods unless specifically exempted. It equals the entity's PAN, must be updated online every April–June, and is deactivated if not updated.
Sources: Directorate General of Foreign Trade, Government of India · last checked
What catches people out
- Clearance ✓ Verified
Documentation requirements are extensive and clearance delays are frequent; importers often post bonds or bank guarantees to release delayed shipments, adding cost.
Sources: U.S. International Trade Administration (trade.gov) · last checked
Sources used on this page
- Foreign Trade Policy 2023, Chapter 2 (para 2.05, IEC) — Directorate General of Foreign Trade, Government of India
- National regulatory barriers to the Incoterms® 2020 rules (updated January 2025) — International Chamber of Commerce (ICC)
Snapshot as of December 2024, compiled from ICC national committees. Used as a lead list: facts that rely only on this document are flagged for review until confirmed against national law. - India – Import Requirements and Documentation — U.S. International Trade Administration (trade.gov)
'Needs review' means the fact relies on a secondary source (often ICC's January 2025 barrier list) or an inference we have not yet confirmed against the national law. Spotted an error or a change? Tell us.