Export of agriculture is a very important segment of the Indian economy, rural livelihood sustaining and earning high value foreign exchange. Export of rice, spice, grains, or fruits, one of the most important compliance is an AD Code registration. For any exporter, especially an agricultural exporter, AD Code for agricultural exporters registration is an important requirement to procure goods cleared by Indian Customs.
In case you are new in export trade, this guidebook will take you through the entire process of AD Code registration: what is AD Code, why we need AD Code, and how agricultural exporters can register it hassle-free.
Once AD Code is registered as an agricultural exporter with Customs, it ensures all the export business payments are made via the same bank and are being monitored correctly. It helps the government track export earnings, verify GST refunds, and achieve transparency in foreign trade.
Why is the AD Code Important for Agricultural Exporters?
Agricultural exporters handle perishable and time-sensitive goods. Clearance of the goods at the port within time is hence very crucial. Exporters cannot prepare shipping bills, a document required for the export of goods without AD code registration.
The following are the reasons AD Code is very crucial for agricultural exporters:
- Quick Customs Clearance: AD Code registered is mandatory for preparing shipping bills.
- Bank Remittance: Allows your bank to receive export payments in foreign exchange.
- GST Refunds: It is Required for obtaining GST refund or input tax credit on exports.
- Port-Specific Requirement: You need to register the AD Code of all the ports from which you export.
- Regulatory Compliance: Makes your export operation RBI and FEMA compliant.
see Also: How AD Code Helps in Claiming Export Incentives & Refunds?
Documents for AD Code Registration
In order to get the AD Code for agricultural exporter, you have to submit the following to the Customs department via the ICEGATE platform or in person at the port:
- AD Code Letter from bank (on bank letterhead)
- Import Export Code (IEC) of DGFT
- Copy of business PAN card
- GST Registration Certificate
- Bank Certificate or Cancelled Cheque
- Export License (wherever applicable)
- Covering letter to Customs authority
- Business registration certificate (LLP/Private Ltd/Proprietorship, etc.)
Step-by-Step AD Code Registration Process for Agricultural Exporters
This is the step-by-step process through which agricultural exporters can register their AD Code:
Step 1: Open a Current Account in an AD Bank
You need to open a current account in a bank that is an Authorised Dealer (AD) of foreign exchange. Select a branch closest to your business location for easy access.
Step 2: Get AD Code Letter from Bank
Ask your bank to send an AD Code Letter. The letter must have the 14-digit AD Code and be signed on the bank’s official letterhead by a seal and an authorized signatory.
Step 3: Login to ICEGATE Portal
Log in at ICEGATE portal and register with your IEC and business credentials. ICEGATE is the Indian Customs e-commerce portal for the filing of shipping bills and other customs papers.
Step 4: Upload AD Code on ICEGAT
Upon login, go to the Bank Account Management page and upload the AD Code Letter and all the compulsory supporting documents like IEC, PAN, and GST certificates.
Step 5: Verification by Customs
The papers will be verified by the concerned Customs House of the export port after submission. If everything is found to be correct, the Customs EDI system will register the AD Code.
Step 6: Confirmation and Usage
You will be notified once it is accepted. You can now submit bills of lading and export via the concerned port with your AD Code.
General Issues Faced by Agricultural Exporters
- AD Code Letter Blunder: Customs will decline the request if the bank letter format is inappropriate.
- Bank and IEC Detail Difference: Utilize business details on the AD Code letter and IEC as identical in every way.
- No Port-Wise Registration: Exporters believe that once-only registration is enough; they necessitate individual registration for each port.
- Avoid these by closely coordinating with your bank and a CHA (Custom House Agent) or logistics advisor.
Tips for Smooth AD Code Registration
- Get the letter of attestation of the AD Code letter before submitting.
- Be consistent in business name and address in all documents.
- Keep the same bank for all foreign currency receipts in order to facilitate compliance.
- Save both soft and hard copies of documents submitted for reference.
Conclusion
Being an AD Code registered export agric is a stepping stone in starting your export journey. It bridges your bank and Customs so that you can clear goods as well as receive international payments legally. With agriculture exports increasing globally, having your AD code registered with ease makes you export-ready compliant, quick, and proactive.
Whatever organic pulses or premium basmati rice you ship abroad, never forget to provide for timely and accurate AD Code registration.
FAQs
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Do I need an AD Code while shipping agri-products?
No, AD Code registration with Customs is compulsory in order to prepare a shipping bill and export legally from India.
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Do I need to register AD Code for each port?
Yes, you must individually register the AD Code for every port you wish to export from.
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How long will it take to register an AD Code?
It will take around 2–5 working days if the paperwork is in order.
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Can we use a single AD Code for more than one export product?
Yes, the AD Code is linked with your bank account and business, not to goods. You can use it for any export, including agricultural produce.
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What should I do if my AD Code registration is refused?
Check why they refuse it; most of the time, it will be due to incorrect papers or incorrect data. Yes, the AD Code links to your bank account and business, not to goods.
If you need further assistance or have any doubts, our experts are here to help you. Call us: 8881-069-069.
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