How can we Apply for AD Code?
To export your goods via a port, your AD Code must be registered with that port. For example, if you are from Gujarat and want to clear customs from both Mundra and Ankleshwar, you will require separate AD Codes.
An AD Code can be obtained by writing to the bank and asking it to apply it to the account of your business. To request this information, you will need to address it to the branch manager using the prescribed format. According to the format prescribed by the Directorate General of Foreign Trade (DGFT), the bank will be issued a 14-digit AD Code on its letterhead.
To apply for an AD Code, follow these steps:
- Consult a bank that deals in foreign currency or is an authorized forex dealer
- The Bank will process the application and issue the AD Code
- CHA House only requires an exporter to register once once they have their AD Code. When an exporter registers with a port in Mumbai for his cargo, he has to do so only once. However, if his next shipment is from Gujarat, he should register at the CHA house of that port as well.
- ICEGATE will display all the basic information of the exporter and his shipping consignments after registration.
Register your AD code with Customs
The bank will issue you an AD Code, which you will need to register with customs. CHA must be contacted, and you must provide the following documents:
- A letter from your bank granting you AD Code registration authority
- You must submit:
- Enrollment in GST
- The company’s IT returns in the last three years or self and partner’s IT returns
- Last 12 months’ bank statement
- Company’s Import-Export Code (IE)
- The company’s PAN
- Board of Directors resolution
- PAN, Aadhaar card, voter ID, and passport of the partner
- Originals of PAN, Aadhaar, and voter ID/passports signed by the signatory
- (Optional) Export House Certificate
With a change in legislation, these requirements can change. All your documents will be received by the CHA, who will then forward them to customs on your behalf. It usually takes 3–4 days for this to happen.
The Shipping Bill generated by the Electronic Data Interchange (EDI) system means your AD Code was registered when you filed for export. The AD Code needs to be registered at every port from which your goods will be exported and cleared by customs. A port registration with an AD Code has lifetime validity once registered.
Adopting changes to the AD Code
When you register the AD Code, you will be required to submit a set of documents, including:
- A letter explaining the reason for changing the AD Code or cancelling an AD Code previously registered
You will need the email address of the bank branch for any further verification
With these documents, you will need to consult and approach the EDI help desk. You will then receive a new AD Code.
A single AD Code can only be obtained from the bank with which you have a current account. To continue generating your shipping bill number if your bank account changes, you are required to register your AD Code again. This means that you will need to create a new AD code. Moreover, you will have to register the AD Code with the customs again if you change the port of shipment.
No matter how small or large your business is, or what kind of entity you have, you need the AD Code. You can’t export goods without it. Therefore, you need to get your AD Code from your bank and register it with the customs department.
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