Export business in India received extraordinary support from various private and government institutes in recent years. The make in India project mainly focuses on exporting Indian goods to the international market. The realm of export industries is expanding quickly. More companies are joining the export business.
We can see that the Indian export business industries are on the verge of transforming the landscape of the Indian continent. In one estimation, the export business would see tremendous growth in the coming years.
With that said, the scope of the import export business in India is at an all-time high. People looking for career growth should prefer joining the companies dealing with the export import India.
List of the best import export business in India
The following list of India’s best import export businesses will help you select a business category when entering the industry.
- Vegetable Oil
- Medical Supplies
- Gems and jewelry
- Drugs and pharmaceuticals
- Heavy Machinery
- Petroleum products
- Raw Material
- Organic and inorganic chemicals
- Electronic Parts
- Engineering goods
- Textile Products
- Marine products
Opportunities for export business in India
Export business deal with the trade of goods and services between the two countries. Goods are sold in the international market through the agent companies.
Various companies in India deal in the export business known as traders, import and export business agents, suppliers, etc. Export service in India is highly reliable, thanks to the trained, hard-working employee working with these agencies.
Import and export business in India obeys international standards while managing the trading of goods and services. A professional approach makes both parties, buyers and sellers, conduct worry-free trading.
Companies are focusing on the smooth transition of goods while adhering to the trading policies and laws of the local government.
Additionally, trading companies keep track of the export import policy in India to ensure the transaction complies with the guidelines while sending or receiving goods from one country to another.
Role of import and export policy of India
India has the monitory policies to oversee the companies dealing in the import and export business. Thus, understanding these policies is essential for avoiding negative consequences in the industry. The company has to adhere to the policies and guidelines when trading the goods in the international market. Failing to do that will cause the cancelation of the company’s registration.
In India, export-import policies are known as Exim Policy. It consists of guidelines and instructions for the agencies exporting goods and services. Current policies are proclaimed for the five-year (1997-2002) term under Section 5 of the Foreign Trade (Development and Regulation Act), 1992. The policies are updated every five years and announced on the government’s official website.
Besides that, the Export import policies are updated every year on 31st March, and modifications are done to improve the country’s export. These new schemes are focused on increasing the effectiveness of export and import of the products.
Union Minister of Commerce and Industry declares the new update in Exim Policy. The new scheme becomes effective from 1st April of every year. The trade policies ensure economic growth and reduce the consumption of foreign goods. Policies are mainly focused on increasing the export of the Goods and reducing imports.
Procedure for import and export in India
Setting up an import export business procedure in India is relatively easy. So you should be aware of the regulation and documentation required to set up an import and export business in India. Also, you do not need a large capital to start your business.
However, there are specific guidelines that you have to follow to ensure the smooth functioning of the business. Understanding these stages will help you to avoid common mistakes. Also, it protects the stakeholders partnering with your business.
Import business setup procedures
You have to comply with the policies and submit the necessary documentation to the government to get the certificate for dealing in the import-export business.
- First, obtain IEC.
- You should be aware of the legal compliance under different trade laws.
- Get import licenses from respected authorities.
- Complete the customs clearing formalities. You have to file the bill of entry and submit the required documents.
- Stay updated about the Import duty rate. Information is essential for dealing with the clearance of goods.
Companies must have import and export documents to trade in the international market. These documents consist of commercial documents. Regulatory documents are checked at the custom to provide clearance of the goods. Customs, excise, and licensing authorities offer various benefits to the companies dealing in the export and import business.
Export finance in India
Various financial institutes in India offer export finance to new companies. You can fulfill the need for capital from these institutes to run the operation. Private and Public banks also lend loans to the agencies to support their early establishment.
Export important business needs high liquidy to manage the steady growth. Emergency funds can be borrowed from the financial institution at a minimum document. The import-export business consists of a good profit margin, but the risk level is also high compared to other industries.
How to start an export business in India?
Starting an export business in India is quite similar to forming any other company. In the export business, you need a few additional documents to comply with the international trade policies. Follow these steps to start an export business in India.
- Start your business by establishing an organization.
- Open a bank account in the name of the company.
- Get the permanent account number.
- Get the IEC number.
- Get the RCMC.
All of these documents are necessary to deal in the export import business.
Export business in India with low investment
Many export businesses in India don’t require considerable capital to deal with. Here is the list of the export business you can start with low investment.
- Vegetable Export
- Chemical Exports
- Toilet Paper Export
- Spice Export
- Saffron Export
- Beauty Products
- Machinery Export Business
- Petroleum Products
- Leather Products
- Safety Shoes
- Seafood Export
- Meat Exports
- Fancy Chappals Export
- Handicrafts Export
- Medicine Export
- Plastic export
- Gem Export Business
Export startup in India could try their hand in these low investment export businesses. Heavy machinery business and finished goods export are some of the high margin businesses in India. As you gain experience in these markets, you can enter into more comprehensive products. Start an import-export business in India today and test the ground.
Many top export businesses in India are doing well in the international market. Compilation of information about the growing demand for the product is part of research that every organization must conduct to stay ahead of the competition. Data will help you to make wise decisions and enter into untapped territory.
Export Business In India has tremendous scope for the new entrepreneur. You can start your import-export business without needing a significant capital investment. Also, minimum team and resources are required to manage the export business. So if you are passionate about the export business, it is the right time to enter.
Take charge of your career and start dealing in the Export and import business. Demand for Indian products is rising in the international market. Also, government policies are helping the local players to export the goods to the various countries through free trade agreements.
1] Which is the most profitable export business in India?
Agricultural products were the primary exports of goods in India. However, the modern economy and government initiatives have helped manufacturing companies export their products to the international market.
List of the product exported from India
- Precious Jewelry.
- Germs and Stones.
- Petroleum Products.
- Pharmaceutical products.
- Meat Products.
- Dairy Products.
- Ayurvedic Medicines.
2] What are the common challenges faced by companies in the export business?
Export business in India goes through a series of processes. Every step involved in exporting goods in the international market has its challenges. A company engaged in the process has to be aware of these problems. Knowledge and preparation are the only ways to mitigate the loss and execute the process smoothly.
List of the challenges faces by exporting companies.
- Unclear logistic planning
- Lack of knowledge of Border control and distribution laws.
- Not updated about legalities for each market.
- Fluctuation of the currency exchange rates.
- Ensuring the demand for products in the international market.
- Team working in the companies are inexperience.
3] Which are the top exporting countries of India?
Indian economy is consistently growing and entering new regions. These are the top exporting countries of India.
- Hong Kong
- United Kingdom
Exports to these top countries are rising. Many other countries are participating in the free trade agreement with India. New ties will strengthen the economy of the countries in the coming future and support the growth of the people.