What is an AD Code in Export? Everything Indian Exporters Must Know

In the vast landscape of international trade, every detail matters. Whether you're a seasoned exporter or just stepping into the global market, understanding regulatory essentials is critical. One such vital component in India's export ecosystem is the AD Code — a 14-digit code that can make or break your customs clearance process.

In this article, we’ll walk you through everything you need to know about the AD Code for exports from India — from what it is and why it’s important, to how you can obtain and register it at ports for seamless global selling What is an AD Code? The Authorized Dealer (AD) Code is a 14-digit numerical code issued by banks that are authorized by the Reserve Bank of India (RBI) to deal in foreign exchange. This code is linked to an exporter’s current account and is required to be registered with Indian Customs at each port through which the exporter intends to ship goods.

The AD Code connects your export transactions with government monitoring systems, ensuring legal compliance and facilitating the tracking of foreign currency movement.

Why is the AD Code Important for Exporters? If you are exporting goods from India, you cannot generate a shipping bill without a valid AD Code registered at the port. A shipping bill is one of the most essential documents for customs clearance, and thus the AD Code becomes indispensable. Here’s why it’s crucial:

1. Customs Clearance :- No AD Code = No shipping bill = No export. It’s that simple. Registering the AD Code with ICEGATE (the Indian Customs EDI Gateway) ensures your shipments are processed legally and smoothly.
   

2. Foreign Exchange Regulation :- The AD Code allows authorities like RBI and Customs to track foreign exchange earnings, ensuring that your overseas transactions comply with FEMA regulations.
   

3. Claiming Export Incentives:- To avail of government schemes such as Duty Drawback, MEIS/RODTEP, or GST refunds, your bank account (with AD Code) must be registered and verified with the port customs. Documents Required for AD Code Registration Before registering the AD Code at a customs port, keep the following documents ready:

   • Import Export Code (IEC) issued by DGFT

   • AD Code letter issued by your bank (on their letterhead)

   • GST registration certificate

   • PAN Card of the business entity

   • Bank Certificate verifying account details

   • Authorized signatory’s identity and address proof

How to Get an AD Code?

Getting an AD Code is a straightforward process, provided you already have an IEC. Here’s how: Step 1: Obtain an IEC (Import Export Code) Before applying for an AD Code, ensure you’ve received your IEC from DGFT, which is mandatory for all exporters and importers in India. Step 2: Request AD Code from Your Bank

Reach out to your current account’s bank (which must be RBI-authorized to handle foreign exchange). Submit a formal application along with your IEC, PAN, GST certificate, and KYC documents. Step 3: Receive AD Code on Letterhead

After successful verification, the bank will issue the 14-digit AD Code on its official letterhead. AD code bank letter format Here is a sample of an AD code bank letter format:

How to Register AD Code with Indian Customs

Once you receive the AD Code from your bank, it needs to be registered at each port you wish to export from. Here’s how:

1. Log in to ICEGATE Portal (https://www.icegate.gov.in/)

2. Navigate to “Bank AD Code Registration” section.

3. Upload scanned copies of the AD Code letter, IEC, PAN, and other required documents.

4. Submit the application for approval at the respective Customs House.

5. Once approved, you can begin filing shipping bills through that port. Note: If you ship from multiple ports, you must register the AD Code separately at each location. AD Code and Amazon Global Selling If you’re exporting via Amazon Global Selling or other international marketplaces, AD Code registration becomes even more important. Since your goods will be cleared by customs at different ports and logistics hubs, your AD Code must be valid and registered to avoid shipment delays or penalties. Final Thoughts

   An AD Code may just be a 14-digit number, but in the world of exports, it holds significant legal and operational weight. Without it, your export dreams can’t take off.
   

   Whether you're an individual seller, a growing brand, or a large-scale exporter, ensure your AD Code is properly obtained and registered. It streamlines your export process, secures your foreign transactions, and unlocks access to numerous government benefits.
   

   If you're planning to export and need help setting up your AD Code or registering it with customs, feel free to reach out to our team for personalized assistance. Need Expert Help with Export Setup or Amazon Global Selling?

   Contact us today — let’s take your products global the right way.