Seafood exports are in high demand in the international market. The fish and shrimp export business contribute a major revenue source to the Indian government. If you are thinking of how to start a fish export business from India, now is an excellent time to enter the market, which is both profitable and reliable. India has the longest coastal line and along with major inland rivers creates a big scope for the marine products export market. The fishing and seafood industry employs over 14.5 million people in India and has the potential to contribute a lot more to India’s economic development. The government is dedicated to augmenting Indian seafood exports through market access initiatives and trade promotion organizations like MPEDA.

To start a fish export business in India, it is necessary to set up an Export company in India and identify the necessary operations & documentation required for registration as an export firm. At the same time, it is equally important to identify a potential market, do a market analysis of buyers and come up with an execution plan.

Steps to start fish export business from India:-

Table of Contents

Step 1. first step is to register a firm or company under the local jurisdiction.

Decide which type of company you want to register- a single proprietary concern , partnership firm, limited liability partnership, or one person company, or private limited company.

1.1 Open a current account in the name of the company with a bank having an AD CODE.

An Authorised Dealer Code (AD Code) is a 14-digit numerical code provided by a bank with which your business has a current account. You will need to register an AD Code at every port from where your goods are cleared by customs. At the time of customs clearence, your Custom house agent (CHA)will ask you to provide the AD Code for that particular port

Without an AD Code Registration, the Electronic Data Interchange (EDI) system, which is a part of ICEGATE portal (Customs National Trade Portal) will not allow the shipping bill number to be generated. The shipping bill number is mandatory for customs clearance, and an AD Code is required to receive government benefits directly into your business’s current account.

A bank must be an authorised dealer of foreign currency in order to be able to grant an AD Code. The purpose behind an AD Code, is to ensure that foreign currency transactions in an exporter’s current account are from legal trade.

Step 2. Apply for IEC (Importer/Exporter Code) from Directorate General of Foreign Trade registration-DGFT

Prerequisite for registration of exporter with MPEDA is IEC(Import Export Code) from DGFT

Steps for IEC Registration Process:

https://www.dgft.gov.in/CP/?opt=iec-profile-management

Other requirements for Manufacturer exporter/ Processing units : a) GST Registration, b) Local body approval, c) PCB Consent

step 3. Once IEC is ready, Apply to MPEDA for registration as an exporter.

3.1 Application for registration shall be submitted online (http://e-mpeda.nic.in/registration/Reg_login. aspx) along with prescribed fees. The following are the requirements for registration.

Passport size photograph of the applicant
Proof of address (PAN Card / Voters ID Card / Passport)
Copy of written agreement for utilization of surplus capacity of Processing Plant and Handling Facility(Only for Merchant exporter registration).
Original of the joint undertaking by the owner of Processing Plant and Handling Facility(Only for Merchant exporter registration)
Original Registration Certificate of Processing Plant/ Handling Facility for endorsement(Only for Merchant exporter registration)
Original Registration Certificate of Storage premises for endorsement(Only for Merchant exporter registration)
Fee for registration/endorsement (Online payment)
Certificate from Scheduled Bank showing financial soundness
Copy of the Certificate of Importer Exporter Code (IEC) issued by DGFT
Approval letter issued by DGFT in case of Route- through Merchant Exporter
Copy of purchase order
Bank guarantee prescribed as per registration guidelines(Only for Merchant Exporter)

3.2 Issue of registration and membership certificate– RCMC certificate

a) Concerned regional office will scrutinize the documents received

b) Discrepancies if any will be intimated or application will be rejected

c) If found in order, application is recommended online to HO

d) Registration section after scrutiny will recommend application to Secretary for approval

e) Once approved by Secretary, Concerned regional office can issue and print the certificate.

Kindly note that for registration as a Manufacturer exporter, the entities like a processing plant, storage premises and PPC have to be issued first. The registration of all entities is granted online. The field offices are empowered to register Manufacturer Exporter, Route Through Merchant Exporter and Ornamental Fish Exporter coming under their jurisdiction. However, for registering a new Merchant Exporter, the online approval is accorded by Secretary, MPEDA.

3.3 PCB Consent

The same procedure is to be followed for the registration of other entities. Local body approval and PCB (Pollution Control Board) clearance are required for registration of units/Manufacturer exporter

PCB consent has to be taken in two stages-

i) Before commencing construction of the unit

ii) After construction for consent to operate before commissioning of the plant.

3.4 Approval from EIA– Export Inspection Agency

Once MPEDA registration is over. EIA approval can be sought from local EIA Office by submitting application and fee along with MPEDA Registration certificate copies.

4. choose the marine export product category with HS CODE

The marine products permitted to be exported are classified into 8 categories as given below:-

Frozen Marine Products
Canned Marine Products
Freeze Dried Marine Products
Live Marine Products, other than Ornamental Fish
Dried Marine Products
Chilled Marine Products
Ornamental Fish
Others (Edible)/(Non-Edible)

https://www.mca.gov.in/XBRL/pdf/ITC_HS_codes.pdf

5. Apply for FSSAI License for the product to be exported.

fssai certificate confirms the quality of the food product as eligible to be exported safe to consume.

https://foodlicenseportal.org/

step 6. Once an export product is selected, search for genuine buyer.

https://www.trademap.org/Index.aspx

step 7. Send a proforma invoice to the importer with payment methods and incoterms as agreed between both the parties

In trade transactions, a proforma invoice is a document that states a commitment from the seller to sell goods to the buyer at specified prices and terms. The content of a pro forma invoice is almost identical to a commercial invoice and is usually considered a binding agreement, but because a pro forma invoice is not a legally-binding document, the price may change in advance of the final sale.

step 8. Check your finances, choose the corrrect payment terms- whether DA/ DP/ LC/ ADVANCE PAYMENT/ OPEN ACCOUNT transactions for international payments.

step 9. Make an International sales contract with incoterms clearly defined.

STEP 8. Get a pre-inspection certificate from EIA before the fish lot is exported, to determine the export is devoid of any toxic substances of excessive antibodies.

step 9. For bulk orders, exporters can take an ECGC CREDIT insurance. It can be in the form of packing credit or post-export credit, so that the operations of the company are not affected.

step 10. Prepare your commercial invoice, contact your CHA(CUSTOM HOUSE AGENT )

CHA helps in export document processing for smooth custom clearance and to save time.

step 11. Apply for shipping bill through icegate portal.

Once custom clearance is done shipping bill is issued by customs department, in the name of the exporters company. A shipping bill is an important document that an exporter needs to obtain from the customs department before getting his products ready to ship from India. While shipping products from one country to another, an exporter is required to follow a certain export procedure, obtain documents and get clearance from customs. After receiving a shipping bill, the customs authority conducts inspection, post which, it issues an Let Export Order – the final legal procedure required to move goods out of India. This process is completed by the Indian Customs Department by finding out the net value of the goods to be exported) on the shipping bill which is signed and sealed by customs officers

To obtain a shipping bill from ICEGATE, an exporter can follow the below-mentioned steps:
• An exporter has to register with the customs department on their website (ICEGATE) with IEC or Customs House Agents license number and AD Code of the respective bank.
• Post that, exporter can sign in to ICEGATE and fill the required details in the prescribed format, along with necessary documents, and submit it.
• Once the application has been verified, ‘Let Export Order’ will be issued by the officer.
• After this is issued, the shipping bill is generated.

step 12. a shipping order is given to the exporter as confirmation of booking space for cargo on the vessel.

The CHA or freight forwarder books a shipping space on a shipping vessel destined to the port of import. Once the export contract is finalised, the exporter reserves the required space in the vessel for shipment. On accepting the exporter’s request, the shipping company issues a shipping Order. The original copy of the shipping order is given to the exporter and the duplicate is sent to the commanding officer of the ship. The shipping order is an instruction by the shipping company to the commanding officer of the ship that the goods as per the details given should be received on board.

12.1 Prepare and pack your cargo for delivery, along with a copy of commercial invoice, copy of packing list, and copy of LC, copy of SHIPPING BILL.

step 13. Issue of HOUSE / MASTER BL(BILL OF LADING).

The freight forwarder arranges for a pick up from the fish handling facility, through combined transport operator.The export cargo is the loaded on the vessel on the date of shipment, as booked in advance. The MASTER BILL OF LADING(MBL) document is given by the carrier to the exporter, when it is a FCL(Full container load ) cargo and HOUSE BL is issued by frieght forwarder , when there is LCL(less than container load) cargo. BL document acts as confirmation of export of goods to the destination.

step 14. the exporter submits the export documents to the ADVISING BANK of the exporter where his AD CODE IS REGISTERED.

The exporter, has to submit the following documents to the importer’s bank through the advising bank of the exporter.

Business Identification Number from the Customs department
Bill of lading
Export General Manifest
Commercial invoice
Packing list
Certificate of origin from the MPEDA
FSSAI License
Health certificate from the Export Inspection Agency
Catch certificates from the MPEDA
Registration Cum Membership Certificate(RCMC) through the MPEDA
Certificate of Incorporation of the business
DS-2031 Certificate from MPEDA
ICCAT Certificate from MPEDA

Step 15. The exporter receives the payment, through the payment method described in invoice or sales agreement

Once the goods arrive at the named place of destination, PAYMENT is done by the importer or by the LC issuing bank of the importer to the exporter. The export documents are the released to the importer and the importer takes charge of the goods.

An exporter needs to follow the above steps and guidelines to be a successful and profitable in fish export business from India