Introduction
India is a leading producer of organic food, with a growing demand for its agricultural exports worldwide. Individual consumers around the world are now shifting towards chemical-free, friendly-ecosystem, and sustainably sourced products. This has, therefore, led the exporting companies of organic products to adhere to strict licensing and regulatory frameworks.
Export goods include several registrations, certifications, and adherence to national and international quality standards. If you don't comply, the organization will be facing legal action or rejections of shipments and bans on entry into foreign markets.
This step-by-step guide should adequately clear your doubts about what licenses and certifications to get for different export destinations, such as the APEDA certification for organic product compliance.
What are these special licenses for organic products required for export?
Unlike conventional food exports, organic products undergo vigorous tests to ascertain they are free on all counts from any sorts of synthetic pesticides, chemical fertilizers, and GMOs. Hence, more stringent rules apply on the part of the governments for organic compliance to safeguard consumer interests and eventually support sustainable agriculture.
The National Programme for Organic Production (NPOP), under APEDA, has laid down the compliance guidelines for organic products in India. Apart from this, the exporters will also have to apply for certain country-specific certifications like USDA Organic, EU Organic, and JAS.
Step-by-Step Process Guide for Exporting Organic Products from India
1. Business Registration for Exporting
You are supposed to officially register your business in accordance with Indian law before starting the procedure for exportation. The following are common business structures:
- Sole Proprietorship—best suited for small-scale organic producers.
- Partnership Firm—operated in partnership.
- Limited Liability Partnership—widely supported with liability protection.
- Private limited company—provides for large-scale exporters.
2. Obtain Importer-Exporter Code (IEC)
IEC is the license required to obtain a license issued by the Directorate General of Foreign Trade (DGFT) for trading internationally and must be applied for before any export-oriented activity commences.
How to Apply for IEC?
- Go to the DGFT website and create an online account there.
- Fill in the IEC application form.
- Upload business documents like PAN, GST registration, and address proof.
- Pay the application fee.
- Receive your IEC within 2–3 days of working.
Note: Without it, Indian exporters cannot ship any products globally.
3. APEDA Certification for Organic Exports
Certification from APEDA is mandatory for businesses exporting agricultural and processed organic food products. It ensures that the exporters are following NPOP (National Programme for Organic Production) standards with regard to farming, processing, packaging, and labeling.
Steps to Get Registered With APEDA
- Visit the APEDA Portal and fill out the registration form online.
- Present business documents such as PAN, GST registration, and a cancelled cheque.
- Make payment of the fee online.
- Once details and documents are duly verified by APEDA, a Registration-Cum-Membership Certificate will be issued.
Importance of APEDA Registration
- It is mandatory for all exporters of organic food/vegetables.
- Global Organic Certification schemes.
- Appointments for assistance such as government schemes and subsidies.
4. Acquire Organic Certification Under NPOP
Under the National Programme for Organic Production (NPOP), organic products have to meet strict standards for cultivation, processing, and labeling. Exports of organic products cannot be made from India without NPOP certification.
When to apply for NPOP certification:
- Select a body for organic certification approved by APEDA.
- Apply for certification with details of the farm or processing unit.
- There will be physical inspections of farmland, storage units, and packaging facilities involved.
- Documentation of ingredient inputs and traceability must be provided.
- Certification follows a successful audit confirmation.
Pro Tips: Keenly ensure the constant upkeep of all records, since annual inspections are to be made on the organic farm and processing unit while the necessity exists to renew certification.
5. Compliance on International Organic Products Regulations
You are required to comply with the organic regulations of the country you are exporting any organic products to.
- USA: USDA Organic Certification under the National Organic Programme (NOP).
- Europe: EU Organic Certification in accordance with the regulations promulgated by the European Commission.
- Japan: You must acquire Japanese Agricultural Standard (JAS) Organic certification for the Japanese market.
It is a must for the exporters to work with certification agencies accredited by certain internationally recognized standards in order to ensure that the local regulations for organic product compliance are adhered to.
6. Compliance of Packaging, Labelling and Traceability Rules
The complete and organized way of packaging and labeling will make customs clearance a lot more convenient, elevating the trust of consumers from foreign markets.
- Go green in packaging to maintain organic sustainability principles.
- Ensure that the certification logos (NPOP, USDA, EU Organic, etc.) are printed on the packaging.
- Put the batch number, expiry date, and product traceability details on the packaging.
E.g. EU organic logo for the shipment of organic mangoes to Germany and the USDA organic logo for the shipment of organic mangoes to the USA.
7. Primary Licenses and Certifications Required for Export of Organic Goods
License/Certification | Authority of Issuance | Purpose |
---|---|---|
Importer-exporter Code (IEC) | DGFT | Mandatory for all exports |
APEDA certification | APEDA | Needed for organic food exporters |
NPOP certification | APEDA | Certificates of compliance with Indian organic standards |
USDA organic certification | USDA | Required for exports to the USA |
EU organic certification | European Commission | Required for exports to Europe |
JAS certification | Japanese Government | Required for exports to Japan |
Frequently Asked Questions About Exporting Organic Products from India
1. How much does APEDA certification cost?
The cost of establishing APEDA certification depends on the organic certifying agency and the farming/processing unit's scale. It generally varies from 25,000 to 50,000 INR per annum.
2. How much time is required to acquire NPOP organic certification?
Normally, it requires three to six months depending on the size of the farm, the inspection reports, and the accuracy of the documentation.
3. Can I export organic products without obtaining NPOP certification?
No. NPOP certification is a form of a necessary requirement for exporting organic products from India, and no NPOP means the shipment is likely to get rejected at foreign ports.
4. Do I require separate certifications for the US and European exports?
Organic products that do not conform to USDA or EU standards will suffer not only rejection of their shipment or operations but also huge financial loss. To avert those massive financial losses, it's best to maintain all the certifications, documentation, and traceability.
Conclusion
Indian exporters have much to gain from global demand for organic products, but their success will depend on licensing and compliance. The broad range of licenses, from IEC, APEDA, NPOP, and internationally accredited certifying bodies, normally facilitates unhindered shipment of products for commercial advantages. The lack of these permits may introduce serious risks for a business in the form of rejected shipments, legal complications, etc.
With proper compliance with the norms, exporters can enter the global market without delay and start trusting one another. In India, seek expert advice for organic product export registration soon with Seedling Associates, your trustworthy compliance and certification partner.
Contact Seedling Associates for expert advice on organic product export registration.