Importing into India for a US company with no local entity
How we acted as Importer of Record for a US technology firm, cleared its networking equipment, and confirmed the product approvals up front so nothing stalled at the port.
What an Importer of Record actually does
For a foreign company with no registered entity in India, the barrier is not just paperwork. You legally cannot file an import in your own name without an Indian IEC. An Importer of Record solves that. The IOR is an Indian entity that imports the goods under its own IEC, becomes the consignee on the Bill of Entry, pays the customs duty and IGST, and carries the importer’s legal liability for the consignment.
What a good IOR does not do is treat its IEC as a way to wave anything through. The goods still need whatever product approvals apply, and for electronics and networking gear that usually means BIS and WPC. The IOR’s job is to confirm those before the shipment moves, not to discover them at the port.
The client and the challenge
Profile: a US-based technology company shipping networking equipment to its Indian client, with no local entity and no in-house customs capability.
- No Indian entity. They could not file the import in their own name and did not want to set up a company for a single contract.
- Product approvals. Networking equipment commonly needs BIS registration and, where it is wireless, a WPC ETA. Without these the goods are held regardless of who imports them.
- Liability and tax. Someone had to carry the importer’s liability and handle the duty and IGST cleanly, then get the goods to the end client.
How we handled it
- Acted as the Importer of Record under our own IEC, becoming the consignee on the Bill of Entry and carrying the import liability.
- Vetted the equipment before it shipped, confirming the BIS and WPC position so it would not be held at customs.
- Classified and valued the goods correctly on the Bill of Entry, since the IOR is liable for both.
- Paid the customs duty and IGST, and agreed up front how the cost and any input credit would flow to the end client.
- Cleared the consignment at the port, AD Code and all, and delivered to the client’s location.
The outcome
- No entity needed. The goods were imported and delivered without the US company setting up an Indian entity.
- No approval surprise. The consignment cleared because BIS and WPC were confirmed before shipping, not after a hold.
- One accountable party. A single importer carried the whole job, from the Bill of Entry to delivery.
What we check on every IOR shipment
- Product eligibility first. Is the item importable, and does it need BIS, WPC or EPR before it can clear? An IOR’s IEC does not bypass product approvals.
- Classification and valuation. The IOR is liable for the HS code and the declared value on the Bill of Entry, so both have to be right.
- Duty and IGST flow. How the duty and IGST are paid, and how the goods and any input credit reach the end client, agreed before the shipment moves.
- Port and AD Code readiness. So clearance is not held at the port of import.
- Restricted-goods checks. Encryption, licensing or other restrictions specific to the goods.
Importer of Record FAQs
What is an Importer of Record?
It is an Indian entity that imports goods on another party’s behalf under its own IEC. It files the Bill of Entry, pays the customs duty and IGST, and carries the importer’s legal liability for the consignment.
Can a foreign company import into India without an entity?
Yes. Using an Importer of Record removes the need to set up a local company, since the IOR imports the goods in its own name on the foreign company’s behalf.
Does using an IOR avoid product approvals like BIS or WPC?
No. The goods still need their own approvals. The value of a good IOR is that it confirms whether BIS, WPC or EPR apply before the shipment moves, so the consignment is not held at customs.
Who pays the customs duty and IGST?
The IOR pays them at import. How that cost, and any available input tax credit, reaches the end client is agreed in advance so there are no surprises after clearance.
Need to import into India without a local entity?
Tell us the goods and the destination. We will confirm the approvals, act as your Importer of Record and deliver to the client.
Get a free consultation Or see our Importer of Record service