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Agriculture License in India or Agriculture Licence For Agricultural Products

Bhupender Nagar Bhupender Nagar | Blog Writter | Updated

License for Agricultural Products in India

Agriculture with its connected sectors, in India has made a lot of growth since independence. It also contributes a substantial figure to the GDP of India. Agriculture export has improved with special efforts of government of India, making India one of the top exporters of food grain in international market. All exporters have to register with the Director General of Foreign trade (DGFT), who issues them with an Import Export Code (IEC) number. To get aids and concessions under the export-import policy, exporters must register with an appropriate export promotion agency by obtaining a registration-cum-membership certificate.

Important features of Agriculture License in India

  • Its mandatory for all exporter & importer to have Import Export code (IEC) Number
  • Financial assistance is given to exporters
  • It’s important to Inform authorities with regard to every changes or modification in the activities
  • Every exporter /importer must comply with the conditions of License.
  • Government through different Act formed various authorities in its endeavor to augment agriculture products exports

All the businesses which are planning to go for international trading of agricultural products have to register with a regional licensing authority which allocates them with an Import Export Code (IEC) number. Its not possible to get Custom clearance without having an Import Export Code (IEC) number from the regional licensing authority. Director General of Foreign trade (DGFT) is the ultimate authority that provides all importers / exporters with an Import Export Code (IEC) number.

Government of India has established several epic bodies for development of agro industries and to regulate the schedule products for exports by setting standards and specifications for export. To get aids and concessions under the export-import policy, exporters must register with an appropriate export promotion agency by obtaining a registration-cum-membership certificate. There are various registrations which an entity requires to obtain in the course of business, some arementioned in this article, for more details and clarifications, you may connect with us to get consultation on how to start your journey with ease and free of risks.

All agricultural products except ISI Certification Mark or Agmark have to go through quality control and pre-shipment inspections before exporting, (Quality Control and Inspection) Act, 1963. All goods should be labelled, packaged, packed and marked properly before export.

The Indian Trade Classification – Harmonized System (ITC-HS) permits for the free import of most goods without a special import license. Certain goods that fall under the categories require special permission or licensing.

incensed (Restricted) Items: Licensed items can only be imported after obtaining an import license from the DGFT. These include some consumer goods such as precious and semi-precious stones, products related to safety and security, seeds, plants, animals, insecticides, pharmaceuticals and chemicals, and some electronic items are also included in this category.

Canalized Items: Canalized items must only be imported via specified transportation channels and methods, or through government agencies such as the State Trading Corporation (STC). These include petroleum products, bulk agricultural products such as grains and vegetable oils, and some pharmaceutical products.

Prohibited Items: These goods are strictly prohibited from import and include tallow fat, animal rennet, wild animals, and unprocessed ivory.

Import / export was a cumbersome process earlier but now Govt had defined ways to ease it and help importers / exporters in increasing their reach.

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