How to start an export business in India .
Meet Nico .
She lives in a region where there are a lot of coconut plantations .
A friend of hers living in the Middle East suggests that there might be a demand for coconut products there .
The friend would help in getting the orders .
But before that , she would have to set up a trade business so that she can execute the export orders .
We will explain to NIU how to set up an export business .
Step by step , step one , first , Niko must choose the nature of her business entity , either proprietorship partnership , limited liability partnership , limited company , one person , company , trust registered society H U F .
She would also have to decide whether she wants to be a merchant exporter or a manufacturer exporter .
Thereafter , the required registration would have to be done to learn about each of these business entities and what the registrations are required .
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Step two .
After step one , N U has set up a proprietorship called fresh coconut products .
Next , she must get an import export code .
She needs an I E C because as per the F T D R Act of government of India .
No person shall make any import or export except under an importer exporter code to get her I E C NICU needs to apply to the Director General of Foreign Trade which is an attached office under the Ministry of Commerce .
The application may be made online on http colon , double slash triple W dot D G F T dot G O V dot I N for a fees of ₹500 here .
N O should keep in mind a few things .
First , only one I E C is issued against one pan , applying for more than one I E C is a violation of the government rules .
Also , Nico should remember that an I E C is for a lifetime and no renewal is required for an I E C step three .
Next N U would have to register with an Export Promotion Council E PC or a commodity board .
The list of export promotion councils is found in the appendices to the foreign trade policy which is available on the D G F T website under Acts and rules .
Since Nikko wants to export coconut products , she would have to register with coconut Development Board which is the E PC for all coconut products , other than those made from coconut husk and fiber for exporting husk and fiber products .
She would also have to register with the core board for some products .
One might have to register with more than one Export Promotion Council step four Next , Nico needs to identify the inspection certificates required for exporting her coconut products .
The export quality control and Inspection Act 1963 provide for the sound development of the export trade of India through quality control and inspection .
The export inspection council of India would help in identifying the inspection certificates required for the given product .
Now , Nico has the groundwork prepared for starting her export business .
However , this does not end here in international trade .
There are many other technical specifications related to payment methods , shipping and documentation , et cetera .
But NIU does not have to worry D G F T shall explain them as well in the next set of videos .
Not only that we will also discuss the benefits that the government of India provides to help exporters like NIU stay competitive in the big world of global trade .