India’s rapid economic growth since the 1991 reforms has led to significant development in major cities like Mumbai, Delhi, Bengaluru, Kolkata, and Chennai, along with a boom in tier-two and tier-three cities. To accommodate growing international trade, India is enhancing its infrastructure across roads, railways, ports, and airports. Here’s what you need to know about shipping from China to India.
Customs Procedures for Shipping to India
India has simplified its import process significantly. Most goods can be imported under the Open General License, which means no specific import license is required. However, the import procedure involves:
- Ensuring compliance with licensing and regulations before shipping.
- Obtaining customs clearance and paying taxes before goods are released.
Navigating these regulations can be complex. A freight forwarder like TCF can help streamline the process, ensuring compliance and preventing delays. Importers are responsible for completing and providing necessary documentation.
Import-Export Code (IEC)
Before importing, every importer must obtain an Import Export Code (IEC), a unique 10-digit alphanumeric number. This code is crucial for customs clearance, handling shipments, and foreign currency transactions. The application fee is Rs. 500, and registration typically takes 10-15 days. Import activities cannot proceed without this code.
Indian Trading Clarification (IDC)
To determine if an import license is needed, products must be classified using the Indian Trading Clarification based on the Harmonized System of Coding (HS). The ITC-HS code, an 8-digit alphanumeric code, categorizes goods for regulatory purposes.
Import Licenses
India issues general and specific import licenses. A general license allows imports from any country, while a specific license restricts imports to certain countries. Import licenses are essential for clearance and are generally valid for:
- 24 months for capital goods
- 18 months for raw materials, components, consumables, and spare parts
Required Import Documents
For importing goods into India, several documents must be submitted, including:
- Bill of lading or airway bill
- Commercial invoice and packing list
- Bill of entry
- Certificate of origin (if applicable)
- Inspection certificate (if applicable)
- Insurance certificate (if applicable)
- Import license
- Letter of credit
- Registration-cum Membership Certificate (RCMC)
Import Duties and Taxes
India does not have a de minimis value for duty tax exemptions. Every item imported into India is subject to duty and taxes, including Basic Customs Duty (BCD), Customs Handling Fee, Integrated Goods and Services Tax (IGST), and Social Welfare Surcharge. Import duties in India are generally higher than in other major economies.
Sea Freight from China to India
Sea freight is a cost-effective option for shipping from China to India. The route is competitive, with frequent sailings available. Key Indian ports include:
- Nhava Sheva (JNPT)
- Mumbai
- Chennai
- Kolkata
- Mundra
- Cochin
- Vishakapatnam
- Kandla
- Hazira
Sea Freight Transit Times
Transit times vary by loading and destination ports, typically around 20 days. Additional time is needed for loading and unloading at both ends.
Sample Transit Times:
| From/To | Nhava Sheva | Mumbai | Kolkata | Chennai |
|---|---|---|---|---|
| Shenzhen | 15 days | 17 days | 15 days | 12 days |
| Guangzhou | 15 days | 17 days | 15 days | 12 days |
| Ningbo | 14 days | 21 days | 19 days | 17 days |
| Shanghai | 16 days | 23 days | 19 days | 17 days |
| Qingdao | 16 days | 23 days | 19 days | 18 days |
| Tianjin | 18 days | 23 days | 21 days | 20 days |
| Dalian | 20 days | 25 days | 22 days | 21 days |
Sea Freight Costs
Choosing between Full Container Load (FCL) and Less Than Container Load (LCL) can impact costs. For example, rates from Shenzhen to Nhava Sheva are:
- $1,000 to $2,000 for a 20-foot container
- $1,500 to $2,500 for a 40-foot container
LCL Charges:
| Destination | Rate Per CBM |
|---|---|
| Calcutta | $80 |
| New Delhi | $20 |
| Nhava Sheva | $10 |
| Tuticorin | $80 |
| Bangalore | $10 |
| Bombay | $10 |
| Cochin | $10 |
| Hyderabad | $70 |
| Madras | $10 |
Air Freight from China to India
Air freight is faster and safer than sea freight but is more expensive. Major Indian airports include:
- Indira Gandhi International Airport (DEL), New Delhi
- Chhatrapati Shivaji International Airport (BOM), Mumbai
- Chennai International Airport (MAA), Chennai
- Kempegowda International Airport (BLR), Bangalore
- Cochin International Airport (COK), Kochi
- Rajiv Gandhi International Airport (HYD), Hyderabad
- Netaji Subhash Chandra Bose International Airport (CCU), Kolkata
- Trivandrum International Airport (TRV), Thiruvananthapuram
- Sardar Vallabhbhai Patel International Airport (AMD), Ahmedabad
- Calicut International Airport (CCJ), Calicut
Air Freight Costs
Air freight costs depend on volume, weight, and whether you opt for standard or high-priority shipping. Insurance costs typically amount to about 0.5% of the total value of the goods.
Air Freight Transit Times
Air freight usually takes 5-7 days. For expedited services, delivery can be completed in 2-3 working days.
Partnering with TCF
Looking for efficient and cost-effective shipping from China to India? TCF offers comprehensive freight services, including customs handling, insurance, and delivery. We provide competitive rates and personalized service to meet your needs. Contact us for a tailored quote and let us manage the logistics while you focus on your core business.