Doing Business with India

Exporting to India involves several key steps. Here’s a comprehensive guide:

1. Research Market Requirements

   • Understand India’s import regulations and standards for your product.
   • Check for any product-specific certifications needed.

2. Identify Local Partners

   • Establish relationships with local distributors or agents in India.

3. Prepare Export Documentation

   • Include commercial invoices, packing lists, and certificates of origin.
   • Ensure compliance with Indian labeling and packaging requirements.

4. Arrange Logistics and Shipping

   • Choose a reliable shipping company experienced with exports to India.
   • Ensure accurate completion of shipping documents, such as bills of lading.

5. Customs Declaration

   • Work with a customs broker to facilitate the clearance process.
   • Pay any necessary duties and taxes.

6. Understand Duties and Taxes

   • Familiarize yourself with India’s import duties and applicable taxes.

7. Distribution and Sales

   • Establish distribution channels within India.
   • Consider partnerships with local businesses for effective market penetration.

Key Contacts

• Directorate General of Foreign Trade (DGFT)
  • Website: DGFT
• Federation of Indian Export Organisations (FIEO)
  • Website: FIEO

Importing goods into India involves several steps. Here’s a comprehensive guide:

1. Obtain Importer Exporter Code (IEC)

   • Register with the Directorate General of Foreign Trade (DGFT).

2. Classify Your Goods

   • Determine the correct Harmonized System (HS) code for your products.

3. Check Import Policy and Restrictions

   • Ensure your goods comply with India’s import regulations.
   • Verify if any restrictions or licenses are required.

4. Find a Reliable Supplier

   • Establish a relationship with a trustworthy overseas supplier.

5. Arrange Shipping and Logistics

   • Choose a reliable freight forwarder.
   • Ensure all shipping documents are in order.

6. Customs Clearance

   • Work with a customs broker to handle the clearance process.
   • Submit required documents, such as the Bill of Entry and commercial invoice.

7. Pay Duties and Taxes

   • Calculate and pay applicable import duties and Goods and Services Tax (GST).

8. Receive Your Goods

   • Arrange for the transportation of goods from the port to your warehouse.

Key Contacts

• Directorate General of Foreign Trade (DGFT)
  • Website: DGFT
• Central Board of Indirect Taxes and Customs (CBIC)
  • Website: CBIC

Incorporating a company in India involves several steps. Here’s a comprehensive guide:

1. Choose a Business Structure

   • Decide on the type of company (e.g., Private Limited Company, LLP).

2. Obtain Digital Signature Certificate (DSC)

   • Required for online filings with the Ministry of Corporate Affairs (MCA).

3. Apply for Director Identification Number (DIN)

   • Obtain DIN for proposed directors through the MCA portal.

4. Reserve Company Name

   • Use the RUN (Reserve Unique Name) service on the MCA website to reserve your company name.

5. Prepare Incorporation Documents

   • Draft the Memorandum of Association (MoA) and Articles of Association (AoA).

6. File Incorporation Application

   • Submit the SPICe+ form (Simplified Proforma for Incorporating Company Electronically) on the MCA website.
   • Attach necessary documents and pay the registration fee.

7. Obtain Certificate of Incorporation

   • Once approved, receive the Certificate of Incorporation from the Registrar of Companies.

8. Apply for PAN and TAN

   • Apply for Permanent Account Number (PAN) and Tax Deduction and Collection Account Number (TAN) through the MCA portal.

9. Open a Bank Account

   • Open a corporate bank account in the company’s name.

Costs

• Registration Fees: Vary based on authorized capital.
• Professional Fees: For legal and accounting services, if needed.

Key Contacts

• Ministry of Corporate Affairs (MCA)
  • Website: MCA
• Registrar of Companies (ROC)
  • Website: ROC Offices

Setting up a manufacturing plant in India involves several steps. Here’s a comprehensive guide:

1. Conduct Market Research

   • Analyze demand, competition, and location advantages.

2. Choose a Suitable Location

   • Consider proximity to raw materials, transportation, and workforce availability.

3. Incorporate Your Company

   • Register your business with the Ministry of Corporate Affairs (MCA).

4. Obtain Necessary Permits and Licenses

   • Apply for environmental, zoning, and construction permits.
   • Obtain specific industry-related licenses if required.

5. Secure Financing

   • Explore options through banks and investment partners.

6. Design and Construct the Facility

   • Hire architects and contractors for design and construction.
   • Ensure compliance with local building codes and regulations.

7. Install Equipment and Machinery

   • Purchase and set up machinery necessary for production.
   • Ensure safety and operational standards are met.

8. Hire and Train Workforce

   • Recruit skilled labor and provide necessary training.
   • Register employees with the Employees’ Provident Fund Organisation (EPFO).

9. Set Up Supply Chain and Distribution

   • Establish relationships with suppliers and distributors.

10. Begin Operations

    • Start production and monitor operations for efficiency and quality control.

Key Contacts

• Ministry of Commerce and Industry
  • Website: Commerce Ministry
• Invest India
  • Website: Invest India
• State Industrial Development Corporations
  • Specific to each state; contact the relevant state authority.

Registering a trademark in India involves several steps. Here’s a comprehensive guide:

1. Conduct a Trademark Search

   • Ensure your trademark is unique and not already registered.
   • Use the Indian Trademark Registry’s online database.

2. Prepare Your Application

   • Include details such as the trademark design, classification of goods/services, and applicant information.

3. File the Application

   • Submit the application online through the Trademark Registry portal or physically at an office.
   • Choose the appropriate trademark class for your goods or services.

4. Pay the Application Fee

   • Fees vary based on the type of applicant (individual, small enterprise, or others).
   • Standard fee for e-filing is lower than physical filing.

5. Examination Process

   • The Registrar examines the application for compliance and potential conflicts.
   • Respond to any objections or requests for additional information.

6. Publication and Opposition

   • If approved, the trademark is published in the Trademark Journal.
   • A period of 4 months is provided for third parties to oppose the registration.

7. Registration and Certification

   • If no oppositions arise, the trademark is registered.
   • Receive the Certificate of Registration from the Trademark Registry.

8. Maintain and Renew the Trademark

   • Trademarks are valid for 10 years and can be renewed indefinitely.
   • Submit renewal applications to maintain protection.

Costs

• Application Fees: Approximately ₹4,500 to ₹9,000, depending on the applicant type and filing method.
• Legal Fees: If using an attorney, costs will vary based on services.

Key Contacts

• Indian Trademark Registry
  • Website: IP India
• Ministry of Commerce and Industry
  • Website: Commerce Ministry

Resolving commercial disputes in India involves several steps. Here’s a guide on the process:

1. Attempt Negotiation

   • Begin by negotiating directly with the other party to reach an amicable solution.

2. Mediation

   • Engage a mediator to facilitate discussions.
   • Mediation is often quicker and less formal than court proceedings.

3. Arbitration

   • Consider arbitration for a private and binding resolution.
   • Follow the Arbitration and Conciliation Act, 1996.

4. Seek Legal Advice

   • Consult with a lawyer specializing in commercial law for guidance on your case.

5. File a Lawsuit

   • If other methods fail, file a lawsuit in the appropriate civil court or commercial court.
   • Prepare necessary documentation and evidence.

6. Court Proceedings

   • Attend hearings and present your case.
   • Follow legal procedures as guided by your attorney.

7. Judgment and Enforcement

   • If a judgment is made, ensure its enforcement through legal channels.

Costs

• Mediation and Arbitration Fees: Vary depending on the service provider.
• Court Filing Fees: Depend on the jurisdiction and case type; consult local courts.
• Legal Fees: Vary based on the lawyer and complexity of the case.

Key Contacts

• Ministry of Law and Justice
  • Website: Law Ministry
• Indian Council of Arbitration
  • Website: ICA

Resolving commercial disputes in India involves several steps. Here’s a guide on the process:

1. Attempt Negotiation

   • Begin by negotiating directly with the other party to reach an amicable solution.

2. Mediation

   • Engage a mediator to facilitate discussions.
   • Mediation is often quicker and less formal than court proceedings.

3. Arbitration

   • Consider arbitration for a private and binding resolution.
   • Follow the Arbitration and Conciliation Act, 1996.

4. Seek Legal Advice

   • Consult with a lawyer specializing in commercial law for guidance on your case.

5. File a Lawsuit

   • If other methods fail, file a lawsuit in the appropriate civil court or commercial court.
   • Prepare necessary documentation and evidence.

6. Court Proceedings

   • Attend hearings and present your case.
   • Follow legal procedures as guided by your attorney.

7. Judgment and Enforcement

   • If a judgment is made, ensure its enforcement through legal channels.

Costs

• Mediation and Arbitration Fees: Vary depending on the service provider.
• Court Filing Fees: Depend on the jurisdiction and case type; consult local courts.
• Legal Fees: Vary based on the lawyer and complexity of the case.

Key Contacts

• Ministry of Law and Justice
  • Website: Law Ministry
• Indian Council of Arbitration
  • Website: ICA

When considering doing business in India, various social, cultural, political, and economic factors must be taken into account.

Social and Cultural Factors

• Language: Hindi is widely spoken, but English is the primary language for business.
• Business Etiquette: Building relationships and trust is crucial. Punctuality and formal greetings are valued.

Political Factors

• Government Structure: Federal parliamentary democratic republic.
• Regulatory Environment: Reforms are ongoing to improve ease of doing business, but bureaucracy can be challenging.

Economic Factors

• Growing Economy: One of the fastest-growing major economies with a focus on technology and innovation.
• Foreign Exchange: The currency is the Indian Rupee (INR). Be aware of exchange rate fluctuations.

Rule of Law

• Legal Framework: India has a comprehensive legal system with protection for property rights.
• Judiciary: Independent but can be slow due to backlog of cases.

Business Environment

• Infrastructure: Improving, with significant investments in transportation and digital infrastructure.
• Workforce: Large, young, and skilled workforce with increasing emphasis on education and training.

Key Resources

• Invest India
  • Website: Invest India
• Ministry of Commerce and Industry
  • Website: Commerce Ministry
• Reserve Bank of India
  • Website: RBI