Authorised Dealer (AD) Code Registration

An Authorised Dealer (AD) Code Registration is a mandatory requirement for exporters in India to receive foreign currency payments directly into their business bank accounts. The AD Code is issued by the bank with which the exporter holds a current account, and it plays a crucial role in customs clearance and international trade compliance.

The AD Code is a 14-digit numerical code provided by the bank and must be registered with the Indian Customs Department through the ICEGATE (Indian Customs Electronic Gateway) portal. Without AD Code registration, exporters cannot generate a Shipping Bill, which is the primary document required for customs clearance of export goods.

To obtain an AD Code, the exporter needs to approach their bank and request the code on the bank’s letterhead. This code is then submitted to the customs authorities and registered at the port of export. Once registered, exporters can use it for all shipments from that port. If the exporter wishes to export goods from multiple ports, the AD Code must be registered separately at each port.

The key benefits of AD Code Registration include smooth processing of export documentation, direct receipt of export payments in foreign currency, eligibility for government export incentives, and compliance with FEMA and customs regulations.

In short, AD Code Registration acts as a bridge between exporters, banks, and customs, ensuring transparency, smooth export clearance, and timely payment realization in foreign trade.