Millets produced by India rank highly among the globe’s leading millet-producing nations, significantly augmenting the world’s supply of millet. Because of an increased interest in healthy and organic foods on the worldwide market, millets are also a very lucrative food product for international exporting. The Government of India promotes millet exports from India all over the world through organizations such as the Agricultural and Processed Food Products Export Development Authority.
Before entering into a new business of exporting millets, it is important for you to learn about the laws, regulations and documentation associated with exporting this commodity. This guide is written so that you can easily understand all of the information you will need to know.
Business Registration and Legal Setup
If you want to export millet, you will need to officially register your organisation in India before exporting millet. There are four types of businesses that can export millet:
A sole proprietorship
A partnership firm
An LLP (Limited Liability Partnership)
A private limited company
In addition to registering your business, you will need these documents to export millet:
These documents will enable your business to be recognised legally and have the ability to participate in international trade.
2. An Import Export Code (IEC) is Required for Exporting Millets from India
You must obtain an IEC (from the Directorate General of Foreign Trade) before you can export any productt from India.
Without an IEC:
You cannot send goods internationally
You cannot accept payments abroad
An IEC is a one-time registration and does not need to be renewed (it is valid for life).
3. Registering with APEDA to Export Millets
Because millets are considered agricultural products, all exporters must be registered with APEDA in order to export millets.
Here are some reasons why you must register with APEDA in order to export Millets:
It is mandatory to register with APEDA in order to export dairy products
Registers exporters for the purpose of providing financial assistance programmes.
Provides assistance to register exporters for global marketing and developing contacts with buyers.
Works to develop infrastructure that supports your exports.
APEDA also helps exporters develop their products to meet the quality standards required by importing countries and links exporters to these markets.
FSSAI License for Food Export
The Food Safety and Standards Authority of India (FSSAI) requires a license for the export of food products. This is in place to protect consumers from unsafe products by validating that each export license approves the exporter’s operational processes for food processing.
The license issued by FSSAI confirms that the exporter is
In compliance with food safety standards
Has complied with code of practice for the millets products exporting
Has complied with quality standards for exporting products to the international market
Additionally, in order to export food products from India, an exporter must obtain FSSAI approval and may not export without having received such approval.
Quality standards and certification are important when exporting millets as different countries have different import requirements.
For example, there are some important certificates required to export millets
Phytosanitary Certificate – This certifies that the product has been inspected for pests.
Certificate of Origin (COO) – This certifies that the product originates from India.
If applicable, Organic Certification in accordance with the National Program for Organic Production (NPOP) is required to export organic millets.
Under NPOP guidelines, being compliant with Organic Standards is mandatory for the export of organic millets.
In addition to quality certifications, all products shipped/transported/exported out of India, must have an HS code (Harmonised System Code).
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All millets have their own separate HS Codes — so that they can be tracked easily and facilitate efficient and effective compliance for exporters.Using an HS Code ensures there will be no difficulties with expediting customs clearance, there will be no mistakes or discrepancies with regard to taxation or duties there will be no issues with required export documentation.
The need for proper documentation when exporting millets cannot be underestimated. Proper documentation is essential to ensure that there are no delays in shipping and/or transportation of the product shipped.
The key documents needed for the export of millets include:
• Commercial Invoice
• Packing List
• Bill of Lading/Airway Bill
• Certificate of Origin
• Phytosanitary Certificate
• Insurance Certificate (if applicable)
Without the above-listed documents, there may be issues with the exporter's transport of the completed shipment and attaining legal title to the shipment once it arrives at its destination.
Product Packaging & Labeling Requirements
To succeed in international markets, it is essential to have appropriate packaging and labeling for products.
Requirements include:
Food-safe packaging
Moisture resistant containers
Legible Labeling including:
Product description
Weight
Point of Origin
Expiry date
Properly packaged products not only protect the product but also increase the value of your brand through proper marketing leading to increased sales.
Compliance with Import Regulations
Import regulations differ by country. Exporters must perform due diligence to determine:
Country specifics,
Food Safety standards,
Labeling and packaging standards.
Failure to comply with these standards can result in goods being rejected at the port of entry in the importing country.
Logistics and Shipping Coordination
When working with a warehouse/distribution center to develop an export program, selecting the appropriate logistics provider is very important.
Export methods available are:
Sea freight - most economical for large volume shipments.
Air freight - fastest way to transport but most costly.
You will also require:
Freight forwarder
Customs broker (Clearance Agent)
Bank Account and Payment Method
To conduct international business, you must create a current account with an authorized institution.
Bank payment methods typically used are:
Letter of Credit (L/C)
Advance Payment
Documents against payment (D/A)
Exporting banks must also complete an Application Document Code (ADC) for each export transaction.
Market Research and Finding Buyers
The first step to exporting is finding an appropriate target market. The following are examples of target markets that may be appropriate for exporting:
USA
UAE
Europe
Middle East
The Agricultural & Processed Food Products Export Development Authority of India (APEDA) provides resources for exporters who want to find buyers in international markets. APEDA provides exporters with opportunities to connect with global buyers through trade fairs and buyer-seller meetings.
Support and Schemes Provided by Government
The Indian government actively encourages exporters to export millets through the following:
Export promotion schemes
Financial support
International trade fairs
Brand building programs such as the "Shree Anna" brand
These strategies will assist the exporter in their efforts to create a global presence.
Practical Steps to Exporting Millets
Here is an overview of the steps involved in exporting millets:
Register as a business entity
Apply for an Importer Exporter Code
Register with APEDA
Obtain a FSSAI license
Obtain all applicable quality certifications
Identify potential buyers
Prepare all documentation
Ship all products to buyers
Conclusion
Exporting Millets export from India produced in India is a great opportunity for exporters to take advantage of the demand for these healthy grains throughout the world. In order to be successful as an exporter, it is important that the exporter meet all legal requirements, obtain all certifications, and have a system in place to provide proper documentation.
By registering with governmental authorities such as APEDA, maintaining the required quality standards, and understanding international regulations, exporters are able to maintain a strong position in the global millet export market.
If you want to start an export business in millets, now is the time to take advantage of government support
and current international demand.
Frequently Asked Questions (FAQs) on Millet Export from India
1. What is the first step to start exporting millets from India?
The first step is to register your business and obtain an Import Export Code (IEC). Without IEC, you cannot export goods or receive international payments.
2. Is millet export profitable from India?
Yes, millet export is highly profitable due to increasing global demand for healthy, gluten-free, and organic food products.
3. How can I find buyers for millet export?
You can find buyers through:
- APEDA platforms
- International trade fairs
- Export promotion councils
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