Is AD Code mandatory for all exporters and importers in India?

Yes, AD Code linkage is mandatory under FEMA, 1999. Every exporter/importer must maintain an active relationship with an Authorized Dealer (bank holding RBI-issued AD Code) to legally conduct forex transactions. Operating without AD Code linkage constitutes a violation of forex regulations and attracts penalties up to INR 10,00,000 and potential criminal prosecution.

Can I apply directly to the RBI for an AD Code?

No. AD Codes are issued only to banks and financial institutions by the RBI, not to individual traders or businesses. Your role is to establish a relationship with an AD-authorized bank (such as SBI, ICICI, HDFC, or Axis) and link your IEC to their existing AD Code. The bank then facilitates all your forex transactions on its behalf.

What is the difference between Category I, II, and III AD Codes?

Category I ADs (full-service banks) handle all types of forex transactions including trade finance, LC issuance, and remittances without RBI approval for each transaction. Category II ADs (restricted banks) require RBI approval for certain high-value or specialized transactions. Category III ADs (limited dealers) have the most restrictions. Most traders work with Category I or II banks, which offer seamless EXIM services.

How long does it take to get AD Code linkage for my IEC?

Once you submit complete documentation to your chosen AD bank, linkage typically takes 3-7 business days. The bank verifies your KYC credentials, IEC validity, and absence of any DGFT or DRI adverse notices before activating your account for forex transactions. No separate government approval is required.

What happens if my AD bank loses its AD Code authorization?

If your bank's AD Code is suspended or cancelled by the RBI, you must immediately link your IEC to another authorized dealer bank to continue forex operations. Failure to do so within 30 days will result in rejection of customs filings and suspension of DGFT benefits. Monitor your bank's AD status through RBI's official notifications and maintain alternate AD relationships if possible.

AD Code

Understand AD Code requirements for Indian exporters and importers. Learn FEMA compliance, bank linkage, and forex transaction rules under FTP 2023-28 with EXIM Saathi.

Obtain a valid IEC (Importer-Exporter Code) from the DGFT portal with proper business registration and PAN details
Select a scheduled commercial bank offering AD Code services and confirm its current Category I or II AD authorization status with the RBI
Submit complete KYC documentation including PAN, Aadhaar, IEC certificate, audited financials, GST registration, and business address proof to the bank's EXIM/Trade Finance department
The bank's EXIM team registers your IEC with their AD Code in the RBI integrated system, typically within 3-7 business days
Receive formal AD Code linkage confirmation from the bank; use this reference for all customs filings, DGFT declarations, and forex transaction authorizations

Google VerifiedBusiness

500+Export Clients Served

End-to-EndEXIM Support

Book a Free Consultation Call

Share your details — our EXIM expert will call you back.

100% free, no obligation

We respond within 2 business hours

Dedicated expert for your service

What is AD Code?

AD Code (Authorised Dealer Code) is a unique identification number issued by the Reserve Bank of India (RBI) to banks and financial institutions authorized to conduct foreign exchange (forex) transactions on behalf of exporters and importers. Under the Foreign Exchange Management Act (FEMA), 1999 and the Liberalized Remittance Scheme (LRS), AD Code categorizes authorized dealers into Categories I, II, and III based on their operational capacity and regulatory compliance.

The AD Code serves as proof that a bank is permitted by the RBI to facilitate international trade payments, including advance remittances, deferred payment settlements, and repatriation of export proceeds. Every exporter and importer in India must route their forex transactions through banks holding valid AD Codes. The code is essential for compliance with Customs Act, 1962 regulations and DGFT guidelines under the Foreign Trade Policy (FTP) 2023-28.

मूल्य निर्धारण

पैकेज	कीमत	विवरण
Standard	On request	Including document prep

प्रक्रिया

📋
Obtain a valid IEC (Importer-Exporter Code) from the DGFT portal with proper business registration and PAN details
🔍
Select a scheduled commercial bank offering AD Code services and confirm its current Category I or II AD authorization status with the RBI
📝
Submit complete KYC documentation including PAN, Aadhaar, IEC certificate, audited financials, GST registration, and business address proof to the bank's EXIM/Trade Finance department
✅
The bank's EXIM team registers your IEC with their AD Code in the RBI integrated system, typically within 3-7 business days
📤
Receive formal AD Code linkage confirmation from the bank; use this reference for all customs filings, DGFT declarations, and forex transaction authorizations

आवश्यक दस्तावेज़

Valid IEC (Importer-Exporter Code) issued by DGFT, printed from the official portal with 10-digit code
PAN (Permanent Account Number) certificate or PAN acknowledgment letter issued by the Indian Income Tax Department
Aadhaar card copy (or passport for NRIs) of the proprietor/authorized signatory for KYC verification
Audited financial statements for the preceding two financial years (FY-2 and FY-1) as per Accounting Standards
GST Registration Certificate (if applicable) or exemption letter demonstrating tax compliance status
Business registration documents including Partnership Deed, MOA/AOA for companies, sole proprietorship affidavit, or Udyam registration certificate

अक्सर पूछे जाने वाले प्रश्न

शुरू करने के लिए तैयार?

मुफ्त परामर्श और कस्टम कोट प्राप्त करें।

परामर्श लें

AD Code

Understand AD Code requirements for Indian exporters and importers. Learn FEMA compliance, bank linkage, and forex transaction rules under FTP 2023-28 with EXIM Saathi.

Obtain a valid IEC (Importer-Exporter Code) from the DGFT portal with proper business registration and PAN details

Select a scheduled commercial bank offering AD Code services and confirm its current Category I or II AD authorization status with the RBI

Submit complete KYC documentation including PAN, Aadhaar, IEC certificate, audited financials, GST registration, and business address proof to the bank's EXIM/Trade Finance department

The bank's EXIM team registers your IEC with their AD Code in the RBI integrated system, typically within 3-7 business days

Receive formal AD Code linkage confirmation from the bank; use this reference for all customs filings, DGFT declarations, and forex transaction authorizations

Google VerifiedBusiness

500+Export Clients Served

End-to-EndEXIM Support

What is AD Code?

पैकेज

कीमत

विवरण

Standard

On request

Including document prep

प्रक्रिया

📋

Obtain a valid IEC (Importer-Exporter Code) from the DGFT portal with proper business registration and PAN details

🔍

Select a scheduled commercial bank offering AD Code services and confirm its current Category I or II AD authorization status with the RBI

📝

Submit complete KYC documentation including PAN, Aadhaar, IEC certificate, audited financials, GST registration, and business address proof to the bank's EXIM/Trade Finance department

✅

The bank's EXIM team registers your IEC with their AD Code in the RBI integrated system, typically within 3-7 business days

📤

Receive formal AD Code linkage confirmation from the bank; use this reference for all customs filings, DGFT declarations, and forex transaction authorizations

आवश्यक दस्तावेज़

Valid IEC (Importer-Exporter Code) issued by DGFT, printed from the official portal with 10-digit code

PAN (Permanent Account Number) certificate or PAN acknowledgment letter issued by the Indian Income Tax Department

Aadhaar card copy (or passport for NRIs) of the proprietor/authorized signatory for KYC verification

Audited financial statements for the preceding two financial years (FY-2 and FY-1) as per Accounting Standards

GST Registration Certificate (if applicable) or exemption letter demonstrating tax compliance status

Business registration documents including Partnership Deed, MOA/AOA for companies, sole proprietorship affidavit, or Udyam registration certificate

AD Code

What is AD Code?

मूल्य निर्धारण

प्रक्रिया

आवश्यक दस्तावेज़

अक्सर पूछे जाने वाले प्रश्न

संबंधित सेवाएं

श्रेणी के अनुसार

शुरू करने के लिए तैयार?

AD Code

What is AD Code?

मूल्य निर्धारण

प्रक्रिया

आवश्यक दस्तावेज़

अक्सर पूछे जाने वाले प्रश्न

संबंधित सेवाएं

श्रेणी के अनुसार

शुरू करने के लिए तैयार?