Three pieces of paperwork stand between a manufacturer and a legal export shipment. Here is what each one does and the order to obtain them.
New exporters often confuse these three. They serve entirely different purposes and must be obtained in sequence.
1. IEC - Import Export Code
This is an essential document that requires a one-time registration, but annual updatation. It is an identification number issued by the Directorate General of Foreign Trade (DGFT) to businesses or individuals engaged in import or export activities. You cannot conduct any commercial international trade activity without an IEC.
2. AD Code Registration
An AD Code is associated with the bank branch through which your foreign-exchange transactions are handled. DGFT's technical documentation specifically identifies AD Code as "Authorized Dealer Code." The AD bank handles/report foreign-exchange realization and related banking processes. The AD bank handles / report foreign-exchange realization and related banking processes. Exporter → Bank (AD Bank) → Customs / Port → Export proceeds
3. e-BRC - Electronic Bank Realisation Certificate
It is the electronic record / certificate connected with realization of export proceeds. Banks transmit realization information electronically to DGFT. DGFT describes e-BRC as a system that captures export-proceeds realization information from banks through a secured electronic process. Now you can also generate E-BRC at your own at DGFT Portal. It is the very important and a final document which indicate that you have done all formalities.