In India, the Ministry of Commerce and Industry decides the Foreign Trade policy every year. These rules are usually updated on March 31 and the rules stay effective until the next year.
Foreign Policy is a set of guidelines to be followed by traders in the country. These rules are prepared by the Director-General of Foreign Trade (DGFT).
These rules have import and export codes set up by the Ministry. All businesses have to follow these rules and guidelines.
IEC is mandatory to conduct import and export operations in India. It is a 10 digit code. Without this code, all the transactions are illegal.
Salient Features of Foreign Trade Policy 2021-2026
The new policy aims to expand the foreign trade of India. It focuses on manufacturing, export promotion and infrastructure.
1. Improving the infrastructure to suit the demands of the manufacturing sector.
2. Making every district an export hub and finding potential in Indian products.
3. To frequently hold meetings of Chamber of Commerce and Export Promotion Council.
These were the main highlights of India’s new foreign trade policy. This policy is visionary and plans to make India future-ready. Any company registered in India can take part in Foreign trade and grow.
Highlights of the Meeting
Union Minister Hardeep Singh Puri chaired the meeting. The meeting took place on the 1st of April. He emphasised the need to make India an export hub in the next 5 years.
The Minister said that the policy will be effective from April and will continue for the next 5 years. The policy aims to make every district export-oriented.
The Minister also stressed the desire of the govt to make India a world leader in Foreign Trade.
If a business wants to take part in Foreign Trade, they need to register for the IE code first.
The District Hub Initiative
The key highlight of the meeting was the idea to make every district specialize in a certain product. This initiative has already begun in Uttar Pradesh, called One District One Product.
To participate in this initiative, you need a DGFT IEC Code. All the states of India are taking an interest in this endeavour. Every state can develop as many hubs as they want.
How can we assist you in this?
To start foreign trade in India you are required to have an IEC code. This code is mandatory to sell any product outside of India or to buy foreign goods or services from abroad.
Our company is your best bet for hassle-free IEC registration. We will help you with preparing all the required documents and make it easier for you to complete the process in no time.