How to Export from India: Complete Step-by-Step Guide

Exporting from India has never offered more opportunity than today. With government support through PLI schemes, FTAs with major trading partners (UAE, Australia, Singapore, ASEAN), and a weakening rupee improving export competitiveness, Indian manufacturers and traders are increasingly looking to global markets. But before the first shipment leaves Indian shores, several regulatory requirements must be satisfied — and getting them right from the start prevents costly corrections later.

The fundamental regulatory requirement for any Indian exporter is the IEC (Import Export Code), a 10-digit unique business identifier issued by DGFT. Without an IEC, no Shipping Bill can be filed and no export can be made. The IEC application is made online at dgft.gov.in with a government fee of ₹500, and is typically issued within minutes of successful submission. Alongside the IEC, exporters need a current bank account designated for foreign exchange receipts (required under FEMA), GST registration (if not already done), and ideally, membership of the relevant Export Promotion Council (which enables RCMC and access to export scheme benefits).

For GST-registered exporters, the critical compliance action before the first export shipment is filing the LUT (Letter of Undertaking) for the current financial year. The LUT enables the exporter to make zero-rated exports without paying IGST — if the LUT is not filed, the exporter must pay IGST at export and then claim a refund (which ties up working capital). The LUT is filed annually on the GST portal and takes effect immediately upon submission.

Step 1 — Export Order and Proforma Invoice: The export process begins with a buyer's purchase order or a letter of credit. The exporter responds with a Proforma Invoice (PI) confirming the product specifications, price (FOB/CIF/DAP as per the agreed Incoterm), delivery timeline, and payment terms. The PI is the foundation document for the export transaction — the Commercial Invoice and all other documents will be based on it. ISLF advises exporters on Incoterm selection, pricing structure, and documentation requirements for different destination markets.

Step 2 — Production/Procurement and Pre-shipment Inspection: After the export order is confirmed, the exporter produces or procures the goods and arranges any required pre-shipment inspection (for quality certification, phytosanitary inspection for agricultural products, Lami inspection for certain goods, etc.). ISLF coordinates with relevant inspection agencies and helps prepare the required pre-shipment documentation.

Step 3 — Shipping Bill Filing and Customs Clearance: ISLF prepares and files the Shipping Bill on ICEGATE with all required details — exporter's IEC, GSTIN, buyer details, HS code, description, quantity, FOB value, port of loading, GST LUT reference (for zero-rated exports), EPCG/Advance Authorization reference (if applicable), and SB003 declaration (for RoDTEP). Upon filing, the RMS generates a risk assessment and either grants LEO (Let Export Order) automatically or refers the shipment for customs examination. After LEO is granted, the cargo is loaded on the vessel or aircraft.

Step 4 — Bill of Lading and Export Documentation: After the cargo is loaded, the shipping line or airline issues the Bill of Lading (B/L) or Air Waybill (AWB). ISLF ensures that the B/L details match the Shipping Bill (consignee name, description, HS code, quantity) — discrepancies between these documents can cause problems at the destination customs and with the buyer's bank under LC transactions. For LC-backed exports, ISLF coordinates the preparation of the complete document set required by the letter of credit.

Step 5 — Foreign Exchange Realization and BRC: Under FEMA (Foreign Exchange Management Act), export proceeds must be received in India within 9 months of the date of export (extendable). Once the buyer pays, the FIRC (Foreign Inward Remittance Certificate) from the exporter's bank confirms receipt of foreign exchange. The BRC (Bank Realisation Certificate) is then generated on the DGFT eBRC system — a critical document for DGFT scheme compliance, duty drawback claims, and GST refund filing.

Export scheme compliance is the final piece of the puzzle. If the export was made under EPCG (counting against export obligation), ISLF updates the EO tracker. If the export was made with Advance Authorization inputs (duty-free raw materials), ISLF tracks the EO fulfillment and prepares for EODC filing when the obligation is complete. RoDTEP scrips are tracked on ICEGATE and utilized or sold. GST refunds (for exports made with IGST payment, or for input ITC on zero-rated exports) are filed and followed up. ISLF's comprehensive post-shipment service ensures that every rupee of export incentive is captured.