IEC (Import Export Code): meaning, fee and annual update
IEC is the 10-digit Import Export Code issued by DGFT, the same as the PAN, needed to import or export. The fee is ₹500 and it must be updated every year.
Short answer
An IEC (Importer-Exporter Code) is a 10-digit code issued by the Directorate General of Foreign Trade (DGFT) that a business needs to import or export goods, and to claim benefits under the Foreign Trade Policy. The IEC number is the same as the entity's PAN. It costs ₹500 and must be updated every year.
- Issued by
- DGFT
- Number
- Same as the PAN of the entity
- Fee
- ₹500
- Annual update
- Between April and June each year
Who needs an IEC
Any person importing or exporting goods from India needs an IEC, which customs and banks require to clear shipments and process foreign exchange. Exporters of services need one when availing benefits under the Foreign Trade Policy. Certain categories, such as individuals importing for personal use and specified government departments, are exempt. Proprietors, partnership firms, LLPs, companies, trusts and other entities can all obtain an IEC.
Applying and keeping it active
The application is filed on the DGFT portal using the entity's PAN, with address proof and bank details, and the code is generated electronically on approval. The IEC holder must update or confirm the details on the portal every year between April and June, even if nothing has changed. If the update is not done, the IEC is deactivated until it is updated, which can hold up shipments. Changes in address, partners, directors or bank account are filed as IEC modifications.
Why it matters for startups
D2C brands sourcing from abroad, hardware startups importing components and businesses exporting products all need an IEC before their first shipment. Get it early, link it to your customs broker and bank, and set a reminder for the annual update. Services startups that only export software or consulting may not need one unless they claim FTP benefits.
Related services
Sources
Written by the Refogo Editorial Team from the official sources above and checked on 2026-10-31. Laws, rates and due dates change, and authorities often extend deadlines, so confirm your own case with a qualified professional. This is general information, not legal or tax advice. Read our editorial policy or report an error to support@refogo.com.
Common questions
Is IEC required for exporting services?
It is needed if you want to avail Foreign Trade Policy benefits. Banks may also ask for it in some cases.
Does IEC expire?
No. It has lifetime validity, but it must be updated every year between April and June or it is deactivated.
Can I get a new IEC after a change in PAN?
Since the IEC is PAN-based, a change of entity, such as conversion to a company with a new PAN, requires a new IEC.