Business parcel shipping to India: Benefit from the Trade Agreement
Do you need to ship a parcel to India for business? Now is the perfect time. Economic ties between Europe and India are strengthening, and export opportunities are growing rapidly. However, logistical complexity often deters many businesses. This is unnecessary because, with the right partner, shipping to Mumbai, New Delhi, or Bangalore is as simple as shipping within Europe.
In this article, you will learn about the new opportunities, what to watch out for with Indian customs (KYC), and how to easily compare shipping rates.
Benefit from the Trade Agreement: Easy business shipping to India
Thanks to the ongoing free trade negotiations and agreements between the EU and India, massive growth opportunities exist for you as an entrepreneur. A market of 1.4 billion people is becoming more accessible, but the logistical challenge remains. India is known for strict import regulations, despite relaxed trade tariffs.
Sound complicated? Not with us.
At ParcelParcel, we make complex logistics simple. We combine large purchasing volumes with smart tools so you can export without worries.
Why ship to India via ParcelParcel?
Always an option that suits you: In our tool, you can instantly compare rates and transit times from carriers like FedEx, DHL, TNT, and UPS. Whether you want the lowest price or the fastest delivery, you simply choose the carrier that fits your needs.
No hassle with customs paperwork: A small error can cause weeks of delay in India. Our shipping tool automatically generates the correct documents, including the Commercial Invoice, and helps you find the correct HS codes.
Short transit times: We immediately show you which network is fastest for specific regions like Mumbai or New Delhi. Often, your package arrives within just a few business days.
Personal support: Is a shipment unexpectedly stuck at Indian customs? You won't be left on hold at a call center; instead, you can call our specialists directly, and we will resolve it for you.
How do customs in India work? All about the KYC Mandate
When shipping a package to India, you are dealing with one of the strictest customs procedures in the world. While in other countries the responsibility often lies with the shipper, in India, the receiver plays a crucial role.
Indian customs enforce a strict KYC (Know Your Customer) policy. This is often a stumbling block for Western exporters, but if you know how it works, your shipment will not face delays.
What is KYC and why is it mandatory?
KYC stands for 'Know Your Customer'. Simply put, it is a legally mandatory procedure where the identity and address of the receiver in India must be verified before a shipment is cleared. This applies to every shipment, regardless of value, and to both individuals and companies.
This regulation stems from the Money-Laundering Act (2002) and the Prevention of Money-Laundering Rules (2005). The Indian government's goal is to prevent individuals or companies from fraudulently using export incentives or evading import duties.
The Golden Rule: Submit documents Before Arrival
This is where things often go wrong: the KYC documents must be submitted to the carrier (such as DHL, FedEx, or UPS) before the package arrives in India.
The Process: The carrier will contact your receiver as soon as the shipment is en route.
The Risk: If the receiver does not respond in time or if the documents are incomplete, the shipment will be held in a Customs Bond. This not only causes delays but can also lead to storage fees and penalties.
Tip: Always ensure you provide the receiver's mobile number and email address on the shipping label. This allows the carrier to request the KYC documents immediately.
What documents must your receiver provide?
To clear the shipment smoothly, the receiver must provide proof of identity and proof of address. The requirements differ depending on the type of receiver:
1. Proof of Identity
For individuals and company representatives, customs accept one of the following documents:
2. Proof of Address
If the address on the ID matches the delivery address on your package, the ID is often sufficient. Does the address differ? Then the receiver must provide an additional document showing the delivery address, such as:
3. Specifics for Business (B2B)
Are you shipping to a company, partnership, or proprietorship? In addition to personal identification, the receiver must provide proof linked to the business, such as:
A bank statement in the company's name
Electricity or telephone bill for the business premises
Lease or rent agreement for the office or warehouse
By informing your Indian trading partner about this KYC requirement in advance, you prevent your business shipment from being stuck at the border for weeks.
How much does it cost to send a parcel to India?
The cost of shipping to India depends on the weight, dimensions, and the chosen carrier. Because ParcelParcel purchases large volumes from carriers like DHL and FedEx, you benefit from significant discounts that you wouldn't get as an individual shipper.
Do you want to know exactly what your shipment will cost? Use our shipping calculator to see the best rates within seconds.
Import duties and taxes in India
Despite trade agreements that may relax tariffs, import duties (GST - Goods and Services Tax) may still apply depending on the product type and HS code.
DAP (Delivered At Place): By default, you ship via ParcelParcel under 'DAP' terms. This means the receiver in India pays any applicable import duties. This is the standard for most business shipments.
DDP (Delivered Duty Paid): Do you want the receiver to pay nothing upon delivery? In some cases, you can choose to cover the import duties yourself.
Want to learn more about import regulations? Check our page on customs duty clearance.