{"id":33616,"date":"2021-07-28T13:51:08","date_gmt":"2021-07-28T08:21:08","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=33616"},"modified":"2022-06-29T16:28:19","modified_gmt":"2022-06-29T10:58:19","slug":"spice-export-from-india-know-the-legalities","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/","title":{"rendered":"Spice Export from India: Know the Legalities"},"content":{"rendered":"\n<p class=\"has-drop-cap\">India is one of the prominent destinations where exquisite qualities of spices are being cultivated on a grand scale. For this reason, our nation is also widely acknowledged as the&nbsp;spice bowl of the world. Owing to the favourable climate &amp; massive cultivating land, India has a long history of exporting spices all across the globe. The global demand for Indian spices has hardly encountered any negative dip in the past year. That is why new businesses prefer to venture into this domain as an exporter. To be an exporter in India, one has to address plenty of legal formalities. This blog addresses those who wish to conduct Spice Export from India in a legalized way.&nbsp;&nbsp;<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#Spice_Export_from_India_Is_it_Profitable\" >Spice Export from India: Is it Profitable?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#How_is_Spice_Board_of_India_boosting_spice_export_from_India\" >How is Spice Board of India boosting spice export from\nIndia?&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#How_to_get_involved_with_the_business_of_Spice_Exportation\" >How to get involved with the business of Spice\nExportation?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#Basic_Certifications_required_for_Spice_Exportation\" >Basic Certifications required for Spice Exportation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#Prerequisites_for_conducting_spice_export_from_India\" >Prerequisites for conducting spice export from India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/spice-export-from-india-know-the-legalities\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Spice_Export_from_India_Is_it_Profitable\"><\/span>Spice Export from India: Is it Profitable?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Indian Spices are praised all across the globe owing to their distinctive flavour and quality. India has the largest consumer of spices in the world. Spice cultivation is rapidly gaining popularity among the small landowners because it lures fewer expenses and ensures a high return. At present, our country is exporting more than 75 varieties of spices all across the globe. Tropical and subtropical weather patterns of our nation play a vital role in the massive production of various spices.&nbsp;<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/outlook-on-fssai-license-for-spices-in-india\/\">A brief Outlook on FSSAI license for Spices in India <\/a><\/mark><\/p>\n\n\n\n<p><strong><em>Have a look at the list\nbelow that depicts the potential of this venture:&nbsp;<\/em><\/strong><\/p>\n\n\n\n<ul><li>In FY20, India exported more than US$ 3.62 billion of spices worldwide.&nbsp;<\/li><li>In FY 2019, the worldwide exportation of spices stood at US$ 2.80 billion, marginally better than the preceding year figure.&nbsp;<\/li><li>The potential importers of Indian spices in FY 19 include China, the USA, Vietnam, Thailand, Hong Kong, UK, Sri Lanka, and <em><strong>Malaysia<\/strong><\/em><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Malaysia\"><em><strong>[1]<\/strong><\/em><\/a><\/sup>.<\/li><li>During FY19, the top 10 exported spices in terms of value were mint products, chilli, cumin, cardamom seeds, turmeric, Asafoetida, Garlic, Cassia, pepper, and curry powder\/paste.&nbsp;<\/li><\/ul>\n\n\n\n<p><strong>During FY19, the overall export of spices in terms of\nquantity stood as follow:&nbsp;<\/strong><\/p>\n\n\n\n<ul><li>Chilli= 468,500 tonnes<\/li><li>Turmeric = 133,600 tonnes&nbsp;<\/li><li>Cumin = 180,300 tonnes<\/li><li>Cardamom large = 860 tonnes.<\/li><\/ul>\n\n\n\n<p>The overall valuation of\nspice&#8217;s export during Apr 2021-Feb 2021 was stood at US$ 3.55 billion, and for\nthe month of Feb, it was US$ 348.32 million. In FY 20, ginger export achieved\npromising growth of 47% with 19,410 tonnes. Moreover, cardamom export was\nwitnessed a sharp increase of 31% in the same year.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_is_Spice_Board_of_India_boosting_spice_export_from_India\"><\/span>How is Spice Board of India boosting spice export from\nIndia?&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Spices Board, established\nby the Ministry of Commerce and Industry, contributes significantly in the\ndirection of rising global demand for Indian spices. Apart from promoting\nexporting activities, it also regulates the quality of spices being shipped to\noverseas nations.&nbsp;<\/p>\n\n\n\n<p><strong><em>Here are the activities\nperformed by this government-backed organization that help boost spice export\nfrom India&nbsp;&nbsp;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Development &amp; deployment of improved production of\nmethods via technological, scientific, and economic research<\/li><li>Training farmers, agriculturalists with the latest\ntechnologies to increase the production yield<\/li><li>Facilitating material &amp; fiscal support to the growers<\/li><li>Providing registration to legalize the business of spice\nexportation<\/li><li>Rendering education and promotional materials to importers\nand exporters<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_to_get_involved_with_the_business_of_Spice_Exportation\"><\/span>How to get involved with the business of Spice\nExportation?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>The most common way to get\nstarted with the spice export from India&nbsp;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Spices Manufacturer&nbsp;<\/li><li>Wholesale Trader<\/li><li>Spices Trader&nbsp;<\/li><li>Third-party Manufacturer<\/li><li>Exporter<\/li><\/ul>\n\n\n\n<p><strong><em>The following sections\nwill discuss the documentation and basic procedure to get started with spice\nexport from India.&nbsp;&nbsp;<\/em><\/strong><\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Basic_Certifications_required_for_Spice_Exportation\"><\/span>Basic Certifications required for Spice Exportation <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Registrations for setting up Spice Export Business in India<\/li><li>Incorporation Certificate&nbsp;<\/li><li>Certificate of Registration as Exporter of Spices from&nbsp;the Spice Board&nbsp;<\/li><li><a href=\"https:\/\/corpbiz.io\/iec-registration\"><strong>Import Export Code<\/strong><\/a><\/li><li>Food Safety and Standard Authority of India (FSSAI) registration&nbsp;<\/li><li><a href=\"https:\/\/corpbiz.io\/gst-registration\"><strong>GST registration<\/strong><\/a>&nbsp;<\/li><li>Phytosanitary Certificate&nbsp;<\/li><li>Company PAN card&nbsp;<\/li><li>Bank certificate&nbsp;<\/li><\/ul>\n\n\n\n<p><strong><em>You may also need to\nsecure the following certificates from the Bureau of Indian Standard (BIS) in\ncase of the exportation of the given spices&nbsp;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Chili powder ISI number: 2445-1963<\/li><li>Curry powder ISI number: 1909-1961<\/li><li>Coriander powder ISI number: 2444-1963<\/li><li>Sampling &amp; testing of Spices ISI number: 1997-1961<\/li><li>Turmeric powder ISI number: 2446-1963<\/li><\/ul>\n\n\n\n<p><strong><em>Arrange the following\ndocuments to obtain the Certificate of Registration as an Exporter of Spices\nfrom the Spices Board of India:&nbsp;<\/em><\/strong><\/p>\n\n\n\n<ul><li>Import Export Certificate<\/li><li>Demand Draft worth INR 5,000 in favour of the Spices Board<\/li><li>GST tax registration certification<\/li><li>Confidential Bank Certificate.<\/li><li>PAN card<\/li><\/ul>\n\n\n\n<p><strong>Some Additional Licenses&nbsp;<\/strong><\/p>\n\n\n\n<ul><li><a href=\"https:\/\/corpbiz.io\/msme-registration\"><strong>MSME Registration<\/strong><\/a>&nbsp;<\/li><li><a href=\"https:\/\/corpbiz.io\/trademark-registration\"><strong>Trademark registration<\/strong><\/a>&nbsp;<\/li><\/ul>\n\n\n\n<p>Both these registrations\ndon&#8217;t have any connection with the export business, but they could stimulate\nthe company&#8217;s growth. While MSME registration helps small businesses and\nmanufacturers to grow, trademark registration provides a much-needed shield to\nyour IPR assets.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Prerequisites_for_conducting_spice_export_from_India\"><\/span>Prerequisites for conducting spice export from India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>First, choose how you wish to venture into this business model. You can enter into the export of spices as a wholesaler, retailer, supplier, retailer, or exporter, based on the interest and operating capital at hand.&nbsp;<\/li><\/ul>\n\n\n\n<p>All these individuals\nmentioned in this list would need to get registered under the apt Act and\nbylaws.&nbsp;<\/p>\n\n\n\n<ul><li>Conduct in-depth marketing research to know every possible detail of the spice market. This will let you outline an efficient supply chain for the spice.<\/li><li>Next, you will need to create a pool of trustworthy suppliers and vendors for the bulk purchase of quality spices. To accommodate this, you must locate an apt storage location &amp; either buy or rent it. In case you wish to venture into the retail business, then you need to install suitable equipment and machinery for the seamless production of spices.&nbsp;<\/li><\/ul>\n\n\n\n<p><strong><em>Manufacturer cum exporter\nneeds to arrange the following machinery used in the processing and packaging\nof spices: <\/em><\/strong><\/p>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter\"><img decoding=\"async\" width=\"998\" height=\"944\" src=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/07\/machinery-used-in-the-processing-and-packaging-of-spices.png\" alt=\"machinery used in the processing and packaging of spices\" class=\"wp-image-33621\" srcset=\"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/07\/machinery-used-in-the-processing-and-packaging-of-spices.png 998w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/07\/machinery-used-in-the-processing-and-packaging-of-spices-300x284.png 300w, https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2021\/07\/machinery-used-in-the-processing-and-packaging-of-spices-768x726.png 768w\" sizes=\"(max-width: 998px) 100vw, 998px\" \/><\/figure><\/div>\n\n\n\n<ul><li>Next, approach the Directorate General of Foreign Trade (DGFT) to avail the Import Export Code. First of all, you need to create an account on the DGFT portal and then fill the relevant e-form. While entering the details, you will be prompted to upload some essential documents such as business registration, Aadhaar card, rent agreement, etc. After paying the requested fees against the e-form, the application process will reach its completion.<\/li><li>Next, head over to the <a href=\"https:\/\/corpbiz.io\/spice-board-registration\"><strong>Spice board<\/strong><\/a> to avail of mandatory certification. This certificate serves as the fundamental legal document to conduct spice export from India.<\/li><li>Lastly, exporters who deal with the processing and packaging of spices need to obtain an FSSAI license. It is a mandate, and there is no way you can overlook it.<\/li><li>Draw a contract with an experienced and reputable company that will handle your shipping formalities in a legalized way.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>This is how one can set up a legit business of spice exportation in India. Make sure to get in touch with a customs agent before starting your business journey. This is important because most start-ups aren&#8217;t familiar with the legal formalities and strict compliances incurred during the supply chain of the cargo.<\/p>\n\n\n\n<p class=\"text-left\"><b>Read our article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/how-to-get-iec-code-in-india\/\">How to obtain IEC Code in India <\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>India is one of the prominent destinations where exquisite qualities of spices are being cultivated on a grand scale. For this reason, our nation is also widely acknowledged as the&nbsp;spice bowl of the world. Owing to the favourable climate &amp; massive cultivating land, India has a long history of exporting spices all across the globe. [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":33622,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[165],"tags":[1884],"acf":{"service_id":"16"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":20646,"readingTime":4,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/33616"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=33616"}],"version-history":[{"count":17,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/33616\/revisions"}],"predecessor-version":[{"id":44920,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/33616\/revisions\/44920"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/33622"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=33616"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=33616"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=33616"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}