What is an A.D. Code in Export? When and how to Use it?
A.D. Code (Authorised Dealer Code) is a 7-digit number issued by an authorised dealer bank branch to an exporter’s bank account for handling foreign-exchange transactions related to exports and imports.
In simple terms, it tells Indian Customs and the banking system which authorised bank branch is handling your export-related foreign exchange transactions.
Why is A.D. Code important?
For an Indian exporter, an A.D. Code is important because:
- It links your export business with your authorised bank branch.
- It is used for receiving export proceeds in foreign currency through the banking system.
- It is required for shipping bill/Customs-related export procedures, particularly for the port where you intend to export.
- It helps banks and regulatory authorities track and reconcile export payments.
- It supports compliance with RBI foreign-exchange regulations and export realisation requirements.
Where is A.D. Code used?
The A.D. Code is primarily relevant in:
| Area | Use |
| Customs / ICEGATE | Registration of the bank account/AD Code for export transactions |
| Ports & airports | Linking the exporter’s bank details with the export location |
| Banking | Handling and reporting export proceeds |
| Shipping Bills | Bank details associated with export realisation |
| RBI/FEMA compliance | Monitoring foreign-exchange transactions |
Important: An A.D. Code is associated with a specific bank branch and export location/port registration. If you export through another port, you may need to register the relevant bank details/AD Code there as well.
When should a new exporter get an A.D. Code?
Ideally, before making your first commercial export shipment.
A practical sequence for a new exporter is:
IEC → Open current account with an authorised dealer bank → Obtain A.D. Code letter → Register bank/AD Code on ICEGATE for the relevant port → Start exports
Do not wait until the shipment is ready to leave. Get the bank documentation and registration completed well in advance of your first shipment.
What do you normally need from your bank?
Your bank will generally provide an A.D. Code letter/certificate containing details such as:
- Exporter’s name
- Bank and branch details
- 7-digit A.D. Code
- Bank account details
- IEC details
- Authorised bank’s confirmation/signature
The exact documentation and process can vary by bank.
A simple example
Suppose ABC Exports, Ahmedabad opens its export current account with an authorised dealer branch of its bank.
The bank issues an A.D. Code for that branch. ABC then registers the required bank/AD Code details for the port through which it will export.
When ABC exports goods and receives USD 10,000 from its overseas buyer, the banking system can associate the export proceeds with ABC’s export transaction and authorised bank.
A.D. Code vs IEC — don’t confuse them
| IEC | A.D. Code |
| Issued by DGFT | Provided by the authorised dealer bank |
| Identifies the exporter/importer | Identifies the authorised bank branch handling forex |
| Required to undertake import/export | Used for export banking/Customs and foreign-exchange compliance |
| Generally one IEC for the entity | Bank/branch and export-location registration is relevant |
Bottom line: If you are a new Indian exporter, treat the A.D. Code as an important pre-shipment compliance item. Get it from your authorised dealer bank and complete the required Customs/ICEGATE registration before your first export shipment.